2025-2026 Regular Session HB 20 PN 2119 Bill Text (HTM)

PRINTER'S NO. 2119

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

Session of

2025

INTRODUCED BY KINKEAD, MAJOR, K.HARRIS, DAVIDSON, HOHENSTEIN,

CEPEDA-FREYTIZ, DOUGHERTY, D. WILLIAMS, CIRESI AND INGLIS,

JULY 14, 2025

REFERRED TO COMMITTEE ON HEALTH, JULY 14, 2025

AN ACT

Amending Title 35 (Health and Safety) of the Pennsylvania

Consolidated Statutes, providing for adult use of cannabis;

regulating the personal use and possession of cannabis;

establishing the Keystone Cannabis Authority; providing for

powers and duties of the Keystone Cannabis Authority;

establishing the Community Opportunity Fund; providing for

social and economic equity, for regulation of cannabis

business establishments, for enforcement and immunities, for

laboratory testing, for advertising, marketing, packaging and

labeling and for preparation, destruction and regulation of

cannabis and cannabis-infused edible and nonedible products;

imposing a sales tax and excise tax on cannabis and cannabis-

infused edible and nonedible products; establishing the

Cannabis Regulation Fund; providing for cannabis clean slate

and for miscellaneous provisions; imposing penalties;

consolidating provisions relating to the medical use of

cannabis; transferring certain powers and duties of the

Department of Health to the Keystone Cannabis Authority; and

making repeals.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Title 35 of the Pennsylvania Consolidated

Statutes is amended by adding a part to read:

PART VII

CANNABIS

Chapter

90. Preliminary Provisions

91. Adult Use of Cannabis

93. Medical Cannabis

CHAPTER 90

PRELIMINARY PROVISIONS

Sec.

9001. Scope of part.

9002. Definitions.

9003. Smoking.

9004. Medical use of cannabis.

§ 9001. Scope of part.

This part relates to the regulation of cannabis in this

Commonwealth.

§ 9002. Definitions.

Subject to additional definitions contained in subsequent

provisions of this part which are applicable to specific

provisions of this part, the following words and phrases when

used in this part shall have the meanings given to them in this

section unless the context clearly indicates otherwise:

"Authority." The Keystone Cannabis Authority established

under section 9131 (relating to establishment of Keystone

Cannabis Authority).

"Cannabis." As follows:

(1) Any of the following:

(i) Marijuana.

(ii) Hashish.

(iii) Other substances that are identified as

including any parts of the plant Cannabis sativa and

derivatives or subspecies, including indica, of all

strains of cannabis, whether growing or not, including

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the seeds, resin extracted from any part of the plant and

any compound, manufacture, salt, derivative, mixture or

preparation of the plant.

(iv) A product intended for human consumption with a

THC concentration, however derived, greater than:

(A) three-tenths of a percent for any

intermediate or finished plant product or material,

or any product intended for consumption by inhalation

or smoking; or

(B) one half milligram per serving or individual

product unit, and 2 milligrams per package for

products sold in multiple servings or units, for any

beverage, food, oil, ointment, tincture, topical

formation or any other product that is intended for

consumption by means other than inhalation or

smoking.

(2) The term includes THC and all other naturally or

synthetically produced cannabinol derivatives, whether

produced directly or indirectly by extraction, including,

delta-7 THC, delta-8 THC, delta-9 THC or any structural,

optical or geometric isomers of tetrahydrocannabinol,

cannabis flower, concentrate and cannabis-infused edible and

nonedible products.

(3) The term does not include:

(i) The mature stalks of the cannabis plant.

(ii) Fiber produced from the stalks of a cannabis

plant.

(iii) Oil or cake made from the seeds of the

cannabis plant or any other compound, manufacture, salt,

derivative, mixture or preparation of the mature stalks.

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(iv) The sterilized seed of the cannabis plant that

is incapable of germination.

(v) Industrial hemp as defined in 3 Pa.C.S. § 702

(relating to definitions) below the THC concentrate

limits prescribed in paragraph (1)(iv).

"Cannabis-infused edible product." A product meant to be

chewed, dissolved, taken sublingually, buccally, or swallowed.

The term includes liquids, including beverages, food, oil,

tincture, capsule, tablet, gummies or other ingestible forms

containing cannabis or cannabis concentrate that are not

intended to be smoked or otherwise inhaled.

"Cannabis-infused nonedible product." A product meant to be

used topically or otherwise not intended to be ingested. The

term includes gels, creams, patches or ointments containing

cannabis or cannabis concentrate.

"Medical cannabis business establishment." A dispensary, as

defined in section 9303 (relating to definitions), or a

grower/processor granted a permit under section 9343 (relating

to granting of permits).

"Medical cannabis grower/processor." A person, including a

natural person, corporation, partnership, association, trust or

other entity, or any combination thereof, which holds a permit

from the authority under Chapter 93 (relating to medical use of

cannabis) to grow and process medical cannabis.

"Minority-owned business." As defined in 74 Pa.C.S. § 303(b)

(relating to diverse business participation).

"Smoking." The inhalation of smoke caused by the combustion

of cannabis.

"THC." A delta-9 tetrahydrocannabinol and any structural,

optical or geometric isomers of tetrahydrocannabinol, including

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delta-7, delta-8 and delta-10 tetrahydrocannabinol,

tetrahydrocannabinolic acid, tetrahydrocannabiphorol,

hexahydrocannabinol and any other substance, however derived,

including synthetically or from hemp or hemp materials, that has

similar effects on the mind or body as determined by the

authority.

"Veteran-owned small business." As defined in 51 Pa.C.S. §

9601 (relating to definitions).

"Women-owned business." As defined in 74 Pa.C.S. § 303(b).

§ 9003. Smoking.

The smoking of cannabis by individuals 21 years of age or

older or patients under Chapter 93 (relating to medical

cannabis) shall not be permitted in any public place. Nothing in

this part may be construed to require a person or establishment

in lawful possession of property to allow a guest, client,

lessee, adult-use consumer or visitor to use cannabis on or in

that property, including on land owned in whole or in part or

managed in whole or in part by the Commonwealth.

§ 9004. Medical use of cannabis.

Nothing in this chapter or Chapter 91 (relating to adult use

cannabis) shall be construed to limit any privileges or rights

of a patient, including minor patients, or caregivers under

Chapter 93.

CHAPTER 91

ADULT USE OF CANNABIS

Subchapter

A. Preliminary Provisions

B. Lawful Use and Authority

C. Personal Use of Cannabis

D. Keystone Cannabis Authority

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E. Social and Economic Equity

F. Regulation of Cannabis Business Establishments

G. Enforcement and Immunities

H. Laboratory Testing

I. Advertising, Marketing, Packaging and Labeling

J. Preparation, Destruction and Regulation of Cannabis and

Cannabis-infused Edible and Nonedible Products

K. Taxes

L. Cannabis Clean Slate

M. Miscellaneous Provisions

SUBCHAPTER A

PRELIMINARY PROVISIONS

Sec.

9101. Scope of chapter.

9102. Definitions.

§ 9101. Scope of chapter.

This chapter relates to the adult use of cannabis in this

Commonwealth.

§ 9102. Definitions.

The following words and phrases when used in this chapter

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Adult use." Cannabis that can be purchased and consumed by

an individual 21 years of age and older.

"Adult-use consumer." An individual who is at least 21 years

of age.

"Adult-use cultivation center." A facility operated by an

organization or business that is permitted by the authority to

cultivate, process, transport and perform other necessary

activities to provide adult-use cannabis and cannabis-infused

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edible and nonedible products to cannabis business

establishments.

"Adult-use cultivation center permit." A permit issued by

the authority that permits an entity to act as a cultivation and

processing center under this chapter or any regulation

promulgated in accordance with this chapter.

"Advertise." To engage in promotional activities, including

through newspaper, radio, Internet and electronic media and

television advertising. The term:

(1) Includes the distribution of fliers and circulars,

billboard advertising and the display of window signs.

(2) Does not include interior dispensary signage or

exterior signage displaying the name of the permitted

cannabis business establishment.

"Agent." A principal officer, board member, employee or

other agent of a cannabis business establishment who is 21 years

of age or older.

"Agent identification card." An identification card issued

by the authority to an agent under section 9159.15 (relating to

agent identification cards).

"Applicant." A person applying for a permit under this

chapter.

"Board." The board of directors of the authority established

under section 9131 (relating to establishment of the Keystone

Cannabis Authority).

"Bona fide labor organization." A labor organization, as

defined by 29 U.S.C. § 402(i) (relating to definitions), that

has entered or will enter into a labor peace agreement. In

making this determination, the agency shall consider each of the

following as indicative, but not determinative, of a finding

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that a labor organization is a "bona fide labor organization":

(1) The labor organization has been recognized or

certified as the bargaining representative for cannabis

employees in the state.

(2) The labor organization has executed current

collective bargaining agreement(s) with cannabis employers in

the state.

(3) The labor organization has spent resources as part

of a current and active attempt(s) to organize and represent

cannabis workers in the state;

(4) The labor organization has filed the annual report

required by 29 U.S.C. § 431(b) (relating to report of labor

organizations) for the three years immediately preceding.

(5) The labor organization has audited financial reports

covering the three years immediately preceding.

(6) The existence of written bylaws or constitution for

the three years immediately preceding.

(7) The labor organization ' s affiliation with any

regional or national association of unions, including but not

limited to central labor councils.

"Cannabis business establishment." A person holding a permit

issued by the authority to cultivate, process, dispense, infuse

or transport adult-use cannabis, including a dispensary, adult-

use cultivation center, social and economic equity dispensary

permit holder or microcultivation center.

"Cannabis concentrate." A product derived from cannabis that

is produced by extracting cannabinoids, including THC, with the

intended use of smoking, vaping or making a cannabis-infused

edible and nonedible product. The term includes a product

derived from cannabis that is produced by means of heat and

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pressure or mechanical separations.

"Cannabis flower." The term:

(1) Includes cannabis, hashish or other substances

identified as including any parts of the plant Cannabis

sativa and derivatives or subspecies, including indica, of

all strains of cannabis, including raw kief, leaves and buds.

(2) Does not include resin that has been extracted from

any part of the plant or any compound, manufacture, salt,

derivative, mixture or preparation of the plant, the plant's

seeds or resin.

"Cannabis paraphernalia." Any equipment, product or material

which is primarily intended or designed for any of the

following:

(1) Use in vaporizing, ingesting, inhaling or otherwise

introducing a cannabis-infused edible and nonedible product

into the human body.

(2) Preparing, storing or containing cannabis.

"Cannabis testing facility." An entity registered by the

authority to test cannabis for potency and contaminants.

"Change in control." The acquisition by a person or group of

persons acting in concert of a controlling interest in an

applicant or permittee either all at one time or over the span

of a 12-consecutive-month period.

"Clone." A plant section from a female cannabis plant not

yet root-bound, growing in a water solution or other propagation

matrix, that can develop into a new plant.

"Controlling interest." Voting rights that entitle a person

to elect or appoint one or more of the members of the board of

directors or other governing board or the ownership or

beneficial holding of 5% or more of the securities of a publicly

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traded or privately held entity.

"Curbside." The transfer or dispensing of cannabis or a

cannabis-infused edible and nonedible product by an employee of

a cannabis business establishment to a vehicle located in the

parking area or to an individual at the entrance of the

facility.

"Disadvantaged business." A business that is owned or

controlled by a majority of persons, not limited to members of

minority groups, who are subject to racial or ethnic prejudice

or cultural bias.

"Dispensary." An establishment that is permitted by the

authority to acquire cannabis from a cultivation center or

microcultivation center or other dispensary for the purpose of

selling or dispensing cannabis, cannabis concentrates, cannabis-

infused edible and nonedible products, cannabis seeds, immature

cannabis plants, paraphernalia or related supplies to

individuals 21 years of age or older and medical patients as

permitted in Chapter 93 (relating to medical use of cannabis).

"Dispensary permit." A permit issued by the authority that

allows a person to act as a dispensary under this chapter,

Chapter 93 or any regulation promulgated in accordance with this

chapter.

"Disproportionately impacted area." Geographic areas, such

as, but not limited to, precincts, zip codes, neighborhoods, and

political subdivisions, reflecting a disparate enforcement of

cannabis prohibition, including, but not limited to, a history

of arrests, convictions, and other law enforcement practices,

during a certain time period, when compared to the rest of the

state. The authority shall issue guidelines to determine how to

assess which communities have been disproportionately impacted

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and how to assess if someone is a member of a disproportionately

impacted area.

"Diverse business." A disadvantaged business, minority-owned

or women-owned business or service-disabled veteran-owned or

veteran-owned small business that has been certified by a third-

party certifying organization.

"Enclosed, locked facility." A room, greenhouse, building or

other enclosed area equipped with locks or other security

devices that permit access only to cannabis business

establishment agents working for the permitted cannabis business

establishment or acting under this chapter to cultivate,

process, store or distribute adult-use cannabis.

"Enclosed, locked space." Space within a facility, building

or other enclosed area equipped with locks or other security

devices that permit access only to authorized individuals under

this chapter.

"Excipients." Solvents, chemicals or materials reported by a

cannabis business establishment and approved by the authority

for use in the processing of cannabis.

"Financial backer." An investor, mortgagee, bondholder, note

holder or other source of equity, capital or other assets, other

than a financial institution.

"Financial institution." As defined in section 3003.22(r) of

the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform

Code of 1971.

"Flowering stage." The stage of cultivation where and when a

cannabis plant is cultivated to produce plant material for a

cannabis-infused edible and nonedible product. The term includes

mature plants if any of the following apply:

(1) More than two stigmas are visible at each internode

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of the plant.

(2) The cannabis plant is in an area that has been

intentionally deprived of light for a period of time intended

to produce flower buds and induce maturation, from the moment

the light deprivation began through the remainder of the

cannabis plant growth cycle.

"Form of cannabis." The characteristics of cannabis or

cannabis products, including the method of consumption and any

particular strain, variety and quantity or percentage of

cannabis or particular active ingredient.

"Harvest batch." A specifically identified quantity of

cannabis plant that is uniform in strain, cultivated utilizing

the same growing practices, harvested at the same time and at

the same location and cured under uniform conditions.

"Harvest lot." A specifically identified quantity of

cannabis plant taken from a harvest batch.

"Labor peace agreement." An agreement between an applicant or

a cannabis employer and a bona fide labor organization that

seeks to represent employees who perform one or more classes of

work to be performed pursuant to this contract, where such

agreement requires that the covered cannabis and the labor

organization and its members agree to the uninterrupted delivery

of services to be rendered pursuant to this contract and to

refrain from actions intended to or having the effect of

interrupting such services.

"Limited access area." A room or other area under the

control of a dispensary where adult-use cannabis sales occur

with access limited to individuals who are 21 years of age or

older.

"Member of an impacted family." An individual who has a

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parent, legal guardian, grandparent, child, sibling, spouse or

dependent or was a dependent of an individual who, prior to the

effective date of this definition, was arrested for, convicted

of or adjudicated delinquent for any offense that is eligible

for expungement under section 9199.11(b) (relating to cannabis

clean slate).

"Microcultivation center." A facility operated by a person

that is permitted to cultivate, dry, cure, extract, process, and

package adult-use cannabis, including cannabis-infused edible

and nonedible products and perform other necessary activities to

make adult-use cannabis available for sale at a dispensary.

"Microcultivation center permit." An authorization issued by

the authority to a person to conduct activities of a

microcultivation center under this chapter.

"Ordinary public view." Within the sight line of a normal

visual range of an individual, unassisted by visual aids, from a

public street or sidewalk adjacent to real property or from

within an adjacent property.

"Ownership and control." Ownership of at least 51% of a

business, including corporate stock of a corporation, and

control over the management and day-to-day operations of the

business and an interest in the capital, assets, profits and

losses of the business proportionate to the percentage of

ownership.

"Permittee." A person granted a permit under this chapter.

"Person." An individual, firm, partnership, association,

joint stock company, joint venture, public or private

corporation, limited liability company or a receiver, executor,

trustee, guardian or other representative appointed by order of

a court.

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"Possession limit." The amount of adult-use cannabis that

may be possessed at any one time by an individual 21 years of

age or older. This does not include purchases made by qualified

medical patients or qualified registered caregivers.

"Principal officer." As follows:

(1) An officer, director or person who directly owns

more than a 10% beneficial interest or ownership of the

securities of a cannabis business establishment applicant or

permittee or more than a 10% beneficial interest or ownership

of the securities of a cannabis business establishment

applicant or permittee that is a publicly traded company.

(2) A person that has a controlling interest in a

cannabis business establishment applicant or permittee or

that has the ability to elect the majority of the authority

of directors of a cannabis business establishment applicant

or permittee.

(3) A person that otherwise controls a cannabis business

establishment applicant or permittee.

(4) The term does not include a financial institution.

"Process lot." An amount of cannabis product of the same

type and processed using the same cannabis extract, standard

operating procedures and the same or combination of different

harvest lots.

"Remediation." The reprocessing of a manufactured cannabis-

infused product batch that has failed laboratory testing

conducted by a cannabis testing facility or the processing of

cannabis flower that has failed laboratory testing conducted by

a cannabis testing facility.

"Restricted access area." An area of a permitted cannabis

business establishment where only agents are allowed, with

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limited exceptions.

"Security." As defined in section 102(t) of the act of

December 5, 1972 (P.L.1280, No.284), known as the Pennsylvania

Securities Act of 1972.

"Seed-to-sale tracking system." A system designated by the

authority in accordance with section 9133(a)(9) (relating to

powers and duties of authority).

"Small business." An independently owned and operated for-

profit business that employs 25 or fewer employees and not a

subsidiary or affiliate of a corporation.

"Social and economic equity applicant." An applicant that

meets any of the following criteria:

(1) Is comprised of at least 75% ownership and control

by one or more individuals who have resided for at least five

of the preceding 10 years in a disproportionately impacted

area in this Commonwealth.

(2) Is comprised of at least 75% ownership and control

by one or more individuals who:

(i) have been arrested for, convicted of or

adjudicated delinquent for an offense that is eligible

for expungement under this chapter; or

(ii) are members of an impacted family.

(3) Is a veteran-owned small business.

"Social and economic equity dispensary permit." A dispensary

permit issued to a social and economic equity applicant.

"Tincture." A cannabis-infused solution, typically comprised

of alcohol, glycerin or vegetable oils derived either directly

from the cannabis plant or from a processed cannabis extract.

The term:

(1) Includes a calibrated dropper or other similar

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device capable of accurately measuring servings.

(2) Does not include an alcoholic liquor as used in the

act of April 12, 1951 (P.L.90, No.21), known as the Liquor

Code.

SUBCHAPTER B

LAWFUL USE AND AUTHORITY

Sec.

9110. Lawful use.

9111. Authority.

9112. Background checks.

§ 9110. Lawful use.

Notwithstanding any other provision of law, use or possession

of cannabis as specified under this chapter shall be lawful in

this Commonwealth.

§ 9111. Authority.

(a) Sole authority.--The authority shall have general and

sole regulatory authority over the conduct of medical and adult-

use cannabis or related activities as described in this chapter

and Chapter 93 (relating to medical use of cannabis) and shall

administer and enforce the provisions of these chapters. The

authority shall have all the powers necessary or convenient to

carry out and effectuate its purposes in administering the

adult-use and medical cannabis programs.

(b) Granted authority.--Notwithstanding any other provision

of law, an authority granted to a Commonwealth agency or

Commonwealth employee or appointee under Chapter 93 (relating to

medical use of cannabis) shall be given to the Commonwealth

agency or employee or appointee empowered to permit, discipline,

revoke, regulate or make regulations under this chapter.

§ 9112. Background checks.

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(a) Criminal history record check.--The authority shall,

through the Pennsylvania State Police, conduct a criminal

history record check of each prospective principal officer,

board member and agent of a cannabis business establishment

applying for a permit or agent identification card under this

chapter. The Pennsylvania State Police shall furnish, after a

positive identification, all Pennsylvania conviction information

and shall forward the national criminal history record

information to the authority. After the effective date of this

subsection, a principal officer, board member or agent of a

cannabis business establishment who is convicted of diverting

adult-use cannabis or cannabis-infused edible or nonedible

products or who intentionally dispenses adult-use cannabis or

cannabis-infused edible or nonedible products in a manner not

consistent with this chapter shall be deemed to have failed the

criminal history record check under this subsection and may not

be permitted or otherwise be employed by a cannabis business

establishment in this Commonwealth.

(b) Fingerprinting.--Each cannabis business establishment

prospective principal officer, board member or agent shall

submit fingerprints to the Pennsylvania State Police in the form

and manner prescribed by the Pennsylvania State Police. Unless

otherwise provided by Federal or State law, the fingerprints

under this subsection shall be transmitted through a live scan

fingerprint vendor and checked against the fingerprint records

filed in the Pennsylvania State Police and Federal Bureau of

Investigation criminal history records databases.

for conducting the criminal history record check, which shall

not exceed the actual cost of the Commonwealth and national

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criminal history record check.

(d) Submission and initial employment.--When applying for

the initial permit or identification card, the background checks

for each prospective principal officer, board member and agent

of a cannabis business establishment may be completed concurrent

with submitting the application to the authority. An agent may

begin working at a cannabis business establishment while waiting

for the result of a background check.

(e) Construction.--Nothing in this section or chapter shall

be construed to prevent or otherwise inhibit the ability of an

otherwise qualified individual from serving as a principal

officer, board member or agent of a cannabis business

establishment on the sole basis of a nonviolent criminal

conviction related to cannabis.

(f) Certain convictions prohibited.--

(1) A prior conviction solely for a cannabis related

offense shall not disqualify an individual or otherwise

affect eligibility for licensure or employment, including

volunteering, as it related to permitted activities within

this chapter and chapter 93 (relating to medical use of

cannabis).

(2) The following individuals may not hold volunteer

positions or positions with remuneration in or be affiliated

with a cannabis business establishment, including a clinical

registrant under Ch. 93 Subch. I (relating to academic

clinical research centers and clinical registrants), in any

way if the individual has been convicted of a felony violent

crime:

(i) Financial backers.

(ii) Principals.

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(iii) Employees.

SUBCHAPTER C

PERSONAL USE OF CANNABIS

Sec.

9121. Personal use of cannabis, restrictions on cultivation and

penalties.

9122. Possession limits.

9123. Individuals younger than 21 years of age.

9124. Identification, false identification and penalty.

9125. Immunities and presumptions related to use of cannabis by

adult-use consumers.

9126. Discrimination prohibited.

9127. Limitations and penalties.

9128. Employment and employer liability.

§ 9121. Personal use of cannabis, restrictions on cultivation

and penalties.

Beginning 90 days after the effective date of this section,

notwithstanding any other provision of law and except as

otherwise specified under this chapter, the following acts shall

not be a violation of this chapter and shall not be a criminal

or civil offense under State law or an ordinance of a local

government unit of this Commonwealth or be a basis for seizure

or forfeiture of assets under State law for an individual other

than an individual younger than 21 years of age, unless that

individual, and the individual's caregiver, if applicable, is

authorized under Chapter 93 (relating to medical use of

cannabis) to:

(1) possess, consume, use, purchase, obtain or transport

cannabis in an amount for personal use that does not exceed

the possession limit or requirements of this chapter;

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(2) possess, use, obtain or transport cannabis

paraphernalia;

(3) transfer without remuneration, within lawful

possession limits, to an individual 21 years of age or older;

(4) control property if actions that are authorized by

this chapter occur on the property in accordance with this

chapter; and

(5) vaporize adult-use cannabis concentrate anywhere

smoking is permitted.

§ 9122. Possession limits.

(a) Limits.--Except as otherwise authorized under this

chapter, for an individual who is 21 years of age or older, the

possession limits for adult-use cannabis shall be as follows and

cumulative:

(1) Two and one-half ounces of cannabis flower.

(2) 1,000 milligrams of THC contained in cannabis-

infused edible or nonedible products.

(3) Fifteen grams of cannabis concentrate.

(b) Excess prohibited.--A person may not knowingly obtain,

seek to obtain or possess an amount of adult-use cannabis from a

dispensary that would exceed the possession limit under this

section. Except as otherwise provided in this chapter and

Chapter 93 (relating to medical use of cannabis), a person 21

years of age or older that is found to be in possession of an

amount of adult-use cannabis that exceeds the possession limit

is subject to the act of April 14, 1972 (P.L.233, No.64), known

as The Controlled Substance, Drug, Device and Cosmetic Act.

regulated under 3 Pa.C.S. Chs. 7 (relating to industrial hemp

research) and 15 (relating to controlled plants and noxious

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weeds) and the Agriculture Improvement Act of 2018 (Public Law

115-334, 132 Stat. 4490) shall not apply to this section.

§ 9123. Individuals younger than 21 years of age.

(a) Prohibition.--An individual younger than 21 years of age

commits a summary offense by attempting to purchase, purchasing,

consuming, possessing, knowingly and intentionally transporting,

or growing adult-use cannabis. This section does not prohibit

the use of medical cannabis by qualified registered patients

under chapter 93 (relating to medical use of cannabis).

(b) Penalties for underage cannabis offenses.--

(1) An individual who violates subsection (a) may be

sentenced to pay a fine of not more than $500 for the first

offense and not more than $1,000 for a second offense and

each subsequent violation.

(2) A State or local law enforcement agency shall keep a

record of a violation of subsection (a) in a repository or

database separate from a repository or database with other

law enforcement records. A record of a violation of

subsection (a) shall only be used to determine if an

individual committed a subsequent violation of subsection

(a). A State or local law enforcement agency shall destroy a

record of a violation of subsection (a) when the individual

who committed the offense attains 21 years of age.

(3) A State or local law enforcement agency responsible

for enforcing a violation of subsection (a) shall notify the

parent or guardian of the individual who committed the

offense if the individual is younger than 18 years of age.

(4) When an individual is charged for violating

subsection (a), the magisterial district judge may admit the

offender to the adjudication alternative program as

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authorized under 42 Pa.C.S. § 1520 (relating to adjudication

alternative program) or any other preadjudication disposition

if the individual has not previously received a

preadjudication disposition for violating subsection (a).

individual.--An individual 21 years of age or older who

intentionally transfers adult-use cannabis, with or without

remuneration, to an individual younger than 21 years of age or

intentionally allows an individual younger than 21 years of age

to purchase, possess, use, process, transport, grow or consume

adult-use cannabis may be disqualified from purchasing adult-use

cannabis as authorized under this chapter in addition to being

subject to additional criminal or civil penalties under State

law. The authority shall promulgate regulations to implement

this subsection for the purpose of notifying dispensaries of a

disqualification under this subsection and the penalties that

may be imposed against a cannabis business establishment or

agent for intentionally transferring adult-use cannabis to an

individual younger than 21 years of age.

§ 9124. Identification, false identification and penalty.

(a) No personal information required.--To protect personal

privacy, the authority may not require an adult-use consumer to

provide a dispensary with personal information other than for

the purpose of verifying the adult-use consumer's age by means

of a government-issued identification. A dispensary may not

obtain or record personal information about adult-use consumer

without the adult-use consumer's consent.

(b) Scanning identification.--A dispensary shall use an

electronic reader or electronic scanning device to scan a

purchaser's government-issued identification to determine the

20250HB0020PN2119 - 22 -

adult-use consumer's age and the validity of the identification.

A cannabis business establishment may operate for temporary

periods without an operational electronic reader or electronic

scanning device if a process is implemented to determine the

adult-use consumer's age and the validity of identification.

§ 9125. Immunities and presumptions related to use of cannabis

by adult-use consumers.

(a) Penalty applicability.--An adult-use consumer shall not

be subject to arrest, prosecution, denial of a right or

privilege or other punishment, including a civil penalty or

disciplinary action taken by licensing or permitting board,

based solely on any of the following:

(1) The use or possession of adult-use cannabis, if:

(i) the adult-use consumer possesses an amount of

adult-use cannabis that does not exceed the possession

limit under this chapter; and

(ii) the use of cannabis does not impair the adult-

use consumer when engaged in the practice of the

profession for which the adult-use consumer is licensed,

permitted, certified or registered.

(2) Selling cannabis paraphernalia if employed and

authorized as an agent by a permitted dispensary.

(3) Being in the presence or vicinity of the use of

adult-use cannabis or cannabis paraphernalia as authorized

under this chapter.

(4) Possessing cannabis paraphernalia.

(b) Determination of probable cause.--

(1) Possession of or application for authorization to

work as a cannabis business establishment agent or the agent

identification card shall not:

20250HB0020PN2119 - 23 -

(i) constitute probable cause or reasonable

suspicion to believe that a crime has been committed; or

(ii) be used as the sole basis to support the search

of the person, property or residence of the individual

authorized to work as a cannabis business establishment

agent, possessing an agent identification card or

applying for authorization to work as an agent.

(2) The possession of or application for authorization

to work as a cannabis business establishment agent or

possession of an agent identification card shall not preclude

the existence of probable cause if probable cause exists

based on other grounds.

a local government unit shall not be subject to criminal or

civil penalties for taking an action in good faith in reliance

on the provisions of this chapter when acting within the scope

of employment.

(d) Law enforcement liability.--A law enforcement or

correctional agency, or an employee of a law enforcement or

correctional agency, shall not be subject to criminal or civil

liability, except for willful and wanton misconduct, as a result

of taking an action within the scope of the official duties of

the law enforcement or correctional agency or employee to

prohibit or prevent the possession or use of adult-use cannabis

by any of the following:

(1) An individual incarcerated at a correctional

institution, county jail or other facility under the

supervision of the Department of Corrections.

(2) An individual on parole or mandatory supervised

release or otherwise under the lawful jurisdiction of the law

20250HB0020PN2119 - 24 -

enforcement or correctional agency or employee.

(e) Medical care.--For the purpose of receiving medical

care, including an organ transplant, an individual's use of

cannabis under this chapter shall not constitute the use of an

illicit substance or otherwise disqualify an individual from

medical care.

(f) Firearms possession.--A lawful adult-use consumer or

possessor of adult-use cannabis under this chapter or a patient

may not be prohibited or otherwise restricted from lawful

firearm ownership. The Pennsylvania State Police shall take

measures to revise firearms applications or take other necessary

actions to ensure compliance with this chapter.

(g) Child custody.--The purchase or possession of adult-use

cannabis shall not be a determining factor in a child custody

matter. The record of a legal purchase of adult-use cannabis

shall not be subject to disclosure solely due to a custody

action.

§ 9126. Discrimination prohibited.

(a) Child welfare.--The presence of cannabinoid component or

metabolites in an individual's bodily fluids, possession of

cannabis-related paraphernalia, conduct related to the use of

cannabis or the participation in cannabis-related activities

authorized under this chapter by a custodial or noncustodial

parent, grandparent, legal guardian, foster parent or other

individual charged with the well-being of a child, may not form

the sole, primary basis or supporting basis for an action or

proceeding by a child welfare agency or family or juvenile

court. Unless the individual's actions in relation to cannabis

create an unreasonable danger to the safety of the child or

otherwise show the individual is not competent as established by

20250HB0020PN2119 - 25 -

clear and convincing evidence, the prohibition under this

subsection shall include any of the following:

(1) An adverse finding, evidence or restriction of a

right or privilege in a proceeding related to the adoption of

a child.

(2) A fitness determination or a determination related

to a foster parent, guardianship, conservatorship or

trusteeship.

(3) The execution of a will or the management of an

estate.

(b) Landlords.--A landlord may not be penalized or denied a

benefit of leasing to an individual who uses cannabis under this

chapter.

construed to require a person or establishment in lawful

possession of property to allow a guest, client, lessee, adult-

use consumer or visitor to use cannabis on or in that property,

including on land owned in whole or in part or managed in whole

or in part by the Commonwealth.

§ 9127. Limitations and penalties.

(a) General limitations.--This chapter shall not permit an

individual to engage in and shall not prevent the imposition of

a civil, criminal or other penalty for engaging in any of the

following:

(1) Undertaking a task under the influence of cannabis

when doing so would constitute negligence, professional

malpractice or professional misconduct.

(2) Possessing cannabis:

(i) in a school bus;

(ii) on the grounds of a preschool or primary or

20250HB0020PN2119 - 26 -

secondary school;

(iii) in a correctional institution;

(iv) in a vehicle not open to the public unless the

cannabis is in a cannabis container and reasonably

inaccessible while the vehicle is moving; or

(v) in a private residence that is used at any time

to provide permitted childcare or other similar social

service care on the premises.

(3) Using cannabis:

(i) on a school bus;

(ii) on the grounds of a preschool or primary or

secondary school;

(iii) in a correctional institution;

(iv) in a motor vehicle;

(v) in a private residence that is used at any time

to provide permitted child care or other similar social

service care on the premises; or

(vi) knowingly in close physical proximity to an

individual younger than 21 years of age.

(4) Operating, navigating or being in actual physical

control of any motor vehicle, aircraft, watercraft or

snowmobile while using or under the influence of cannabis.

(5) Facilitating the use of cannabis by an individual

who is not authorized to use cannabis.

(6) Transferring cannabis to an individual in violation

of this chapter.

(7) The use of cannabis by a law enforcement officer,

constable, corrections officer, probation officer or

firefighter while on duty.

(8) The use of cannabis by an individual who has a

20250HB0020PN2119 - 27 -

commercial driver's license while on duty.

(b) Business restriction.--Nothing in this chapter shall

prevent a private business from restricting or prohibiting the

use of cannabis on business property, including areas where

motor vehicles are parked.

authorize or otherwise require an individual or business entity

to violate Federal law, including the ability to consume

cannabis in public housing or on college or university campuses.

(d) THC limitations.--A person may not sell, offer for sale,

dispense, process, manufacture, market, advertise or distribute

cannabis or a product intended for consumption or inhalation in

excess of the THC concentrations and limits prescribed, unless

permitted and authorized under this part.

(e) Cannabinoid product limitations.--A person may not sell,

dispense, process, manufacture or distribute a cannabinoid

product that is not derived from naturally occurring

biologically active chemical constituents.

(f) Penalties.--A person who violates subsection (d) or (e)

is guilty of a misdemeanor of the third degree. Upon conviction,

the court may sentence the person to a pay a fine not to exceed

$10,000 for each offense under subsection (d) or (e).

§ 9128. Employment and employer liability.

(a) Workplace policies.--Nothing in this chapter shall

prohibit an employer from adopting reasonable zero-tolerance

policies, drug-free workplace policies or employment policies

concerning testing, smoking, consuming, storing or using

cannabis in the workplace or while on call, if the policies are

applied in a nondiscriminatory manner. Nothing in this chapter

shall require an employer to permit an employee to be under the

20250HB0020PN2119 - 28 -

influence of or use cannabis in the employer's workplace or

while performing the employee's job duties or while on call.

(b) Violations of employer policies.--Nothing in this

chapter shall limit or prevent an employer from disciplining an

employee or terminating employment of an employee for violating

an employer's employment policies or workplace drug policy.

Nothing in this chapter shall be construed to interfere with any

Federal, State or local restrictions on employment.

SUBCHAPTER D

KEYSTONE CANNABIS AUTHORITY

Sec.

9131. Establishment of the Keystone Cannabis Authority.

9132. Applicability of other statutes.

9133. Powers and duties of authority.

9134. Regulations.

9135. Temporary regulations.

9136. Confidentiality and public disclosure.

9137. Unauthorized activities and civil penalties.

9138. Community Opportunity Fund.

9139. Governing practice and procedure.

§ 9131. Program establishment.

(a) Establishment.--The Keystone Cannabis Authority is

established as a body corporate and politic constituting a

public corporation and government instrumentality.

(b) Management.--The board shall exercise the powers of the

authority.

medical cannabis program established under Chapter 93 (relating

to medical use of cannabis) shall be transferred to the

authority within 90 days of the effective date of this

20250HB0020PN2119 - 29 -

subsection. All authority, information, documents, databases and

necessary information of the medical cannabis program shall be

transferred to the authority within 90 days of the effective

date of this subsection. The failure of the Department of Health

to timely transfer its authority, information, documents,

databases and necessary information of the medical cannabis

program to the authority shall not delay or inhibit the ability

of a current medical cannabis business establishment on the

effective date of this subsection from commencing adult use

operations.

(d) Members.--The authority shall be governed by a board

consisting of seven members selected as follows:

(1) Three members appointed by the Governor, two of

which shall consist of the following:

(i) a member who represents labor; and

(ii) a member who represents persons involved in

social and economic equity.

(2) One member appointed by each of the following:

(i) the President pro tempore of the Senate;

(ii) the Speaker of the House of Representatives;

(iii) the Minority Leader of the Senate; and

(iv) the Minority Leader of the House of

Representatives.

(e) Terms.--Each board member shall serve for a term of

three years.

(f) Vacancy.--If a vacancy occurs on the board or when a

board member's term expires, the remaining members of the board

shall appoint a successor member of the board within 60 days of

the vacancy.

(g) Compensation.--A member of the board shall be entitled

20250HB0020PN2119 - 30 -

to compensation not to exceed the amount of 75% of the

compensation paid to members of the General Assembly under

section 4 of the act of September 30, 1983 (P.L.160, No.39),

known as the Public Official Compensation Law, and as updated

for cost-of-living adjustments published annually in the

Pennsylvania Bulletin. A member of the board may decline to

receive compensation under this subsection. Each board member

shall be entitled for reimbursement of expenses actually

incurred in the performance of official duties of the board.

(h) Ethics.--The authority shall establish a code of ethics

for all members and employees. A copy of the code shall be filed

with the Pennsylvania State Ethics Commission. The code shall

include provisions reasonably necessary to carry out the

purposes of this section and any other laws subject to the

jurisdiction of the authority including, but not limited to:

(1) Prohibiting the receipt of gifts by board members

and employees from a cannabis business establishment or

medical cannabis business establishment, applicant, affiliate

or other person or entity subject to the jurisdiction of the

authority.

(2) Prohibiting the participation by board members and

employees in a particular matter that affects the financial

interest of a relative within the third degree of

consanguinity or a person with whom the board member or

employee has a significant relationship.

(3) Providing for recusal of a board member in a

licensing decision due to a potential conflict of interest.

(i) Removal of members.--A member of the authority may be

removed by a majority vote of the board for substantial neglect

of duty, inability to discharge the powers and duties of office

20250HB0020PN2119 - 31 -

or gross misconduct or conviction of a felony.

(j) Liability.--A member of the board shall not be liable

personally on any obligation of the board or authority.

(k) Organization.--

(1) The board shall select a chairperson of the board by

majority vote of the members of the board.

(2) In the case of absence during a meeting of the

board, the chairperson of the board may designate another

member to serve as a substitute chairperson.

(l) Quorum.--

(1) A majority of the members of the board shall

constitute a quorum of the board for the purpose of

organizing the authority and conducting official business.

(2) Only members of the board who are physically present

at a meeting of the board or able to participate fully in the

deliberations by appropriate telecommunications means shall

count toward a quorum of the board.

(3) If a quorum is not present, a hearing of the board

may still take place.

(m) Voting.--Official action shall be taken by a vote of a

majority of the members of the board present to otherwise fully

participating at a meeting of the board.

(n) Advisory committees and subcommittees.--

(1) Advisory committees and subcommittees may be formed

to advise and assist the work of the board.

(2) The chairperson of the board may appoint advisory

committees that may consist of members, nonmembers, outside

experts and staff of the board.

(3) Only a board member may be the chairperson of

advisory committee.

20250HB0020PN2119 - 32 -

(4) An advisory committee or subcommittee may be formed

to address and make recommendations on subjects determined by

the board, including, but not limited to, any of the

following topics:

(i) Public health and wellness

(ii) Community safety and well-being.

(iii) Judicial and carceral systems.

(iv) Education.

(v) Housing.

(vi) Employment.

(vii) Business and entrepreneurship.

(viii) Agriculture and food systems.

(ix) Medical marijuana program efficiency.

(5) Each department, agency, office or other entity of

the Commonwealth may cooperate and provide the authority or

its advisory committees or subcommittees with staff and

expertise to assist the authority in carrying out the powers

and duties under this act.

(6) Recognized experts in the subject matter of an

advisory committee or subcommittee of the board may be

appointed to advise and assist the advisory committee or

subcommittee by the board.

(o) Meetings.--

(1) The board shall meet at the call of the chairperson.

(2) The board and each advisory committee or

subcommittee of the board shall meet as often as deemed

necessary.

(3) Within 90 days of the appointment of the initial

members of the board, the board shall conduct its first

meeting.

20250HB0020PN2119 - 33 -

(p) Office of Social Equity.--

(1) The authority shall establish an Office of Social

Equity. The governor shall appoint a director of the Office

of Social Equity.

(2) The director of the Office of Social Equity shall

report directly to the governor.

(3) The Office of Social Equity may employ staff and

retain contractors as may be required to carry out the

functions of the office.

(4) The Office of Social Equity shall:

(i) Promote and encourage full participation in the

regulated cannabis industry by persons from

disproportionately impacted areas to positively impact

those communities;

(ii) Consult with and assist the authority in the

administration of the Community Opportunity Fund.

§ 9132. Applicability of other statutes.

The authority shall be subject to the following acts:

(1) The act of July 19, 1957 (P.L.1017, No.451), known

as the State Adverse Interest Act.

(2) The act of February 14, 2008 (P.L.6, No.3), known as

the Right-to-Know Law.

(3) The provisions of 65 Pa.C.S. Chs. 7 (relating to

open meetings) and 11 (relating to ethics standards and

financial disclosure).

§ 9133. Powers and duties of authority.

(a) Authority duties.--The authority shall:

(1) Adopt bylaws and guidelines as necessary.

(2) Appoint committees and subcommittees as necessary.

(3) Employ staff, including an executive director. The

20250HB0020PN2119 - 34 -

following apply:

(i) An individual employed by the authority shall be

an employee of the Commonwealth.

(ii) The commission may provide administrative

assistance to the authority.

(iii) The authority may contract with persons,

including legal counsel, consultants, advisors, agents,

accountants, auditors, financial experts or service

providers, as deemed necessary and at the discretion of

the authority. Contracted professionals shall report

directly to the authority.

(4) Schedule and initiate a process to promulgate new

regulations or modify regulations.

(5) Hold public hearings on proposed regulations.

(6) Issue permits to cannabis business establishments to

authorize the cannabis business establishments to cultivate,

process, transport and dispense medical and adult-use

cannabis and ensure compliance with this chapter and Chapter

93 (relating to medical use of cannabis).

(7) Register cannabis business establishment agents and

ensure compliance with this chapter Chapter 93.

(8) Have regulatory and enforcement authority over the

cultivating, processing, transporting, dispensing and using

of medical and adult-use cannabis in this Commonwealth.

(9) Designate and mandate compliance with a seed-to-sale

tracking system, which shall not be required to be utilized

as a point-of-sale system, to include activities and

information relating to cannabis business establishments and

electronic tracking of all adult-use cannabis and medical

cannabis under this chapter and Chapter 93 for the purpose of

20250HB0020PN2119 - 35 -

ensuring that no cannabis or cannabis-infused edible and

cannabis-infused nonedible products are sold or otherwise

transferred, except as authorized by law and to aid the

authority in ensuring compliance with this act. This system

shall be the system of record or a secondary electronic

tracking system used by a cannabis business establishment or

testing laboratory that meets all of the following criteria:

(i) The system captures everything that happens to a

cannabis plant from seed and cultivation through the

growth, harvest and manufacturing of cannabis and

cannabis-infused edible and nonedible products, including

testing and transportation, to final sale.

(ii) The system uses unique plant identification and

unique batch identification for the purpose of

identifying cannabis goods and related data.

(iii) The system has the ability to track the

involvement of an agent or permittee with adult-use

cannabis and cannabis-infused edible and nonedible

products.

(iv) The system is integrated with a secondary

system used by a cannabis business establishment or a

cannabis testing facility, if applicable, in a form and

manner determined by the authority.

(v) The system allows for two-way communication,

automation and a secure application-programming interface

with a cannabis business establishment's enterprise

resource planning, inventory, accounting and point-of-

sale software.

(vi) The system includes a secure application

program interface capable of accessing all data required

20250HB0020PN2119 - 36 -

to be transmitted to the authority to ensure compliance

with the operational reporting requirements specified

under this chapter and any regulations promulgated by the

authority.

(vii) The system prohibits any owner or beneficiary

of a seed-to-sale system provider from being the owner of

a cannabis business establishment.

(10) Develop recordkeeping requirements for all books

and papers, any seed-to-sale tracking system data and other

information of a cannabis business establishment for a period

of four years unless otherwise provided by the authority.

(11) Develop enforcement procedures, including announced

and unannounced inspections of facilities and records of a

cannabis business establishment.

(12) Oversee enforcement actions over permittees,

including holding hearings of appeals within 90 days of the

filing of an appeal.

(13) Develop and implement a comprehensive social equity

and economic development program in partnership with the

Office of Social Equity, which shall have the duty of

conducting oversight of grants and loans under Subchapter E

(relating to social and economic equity).

(14) Approve the members of the board related to actions

performed under this chapter and Chapter 93.

(15) Establish and maintain public outreach programs

about medical and adult-use cannabis programs.

(16) Collaborate as necessary with other Commonwealth

agencies and departments or contract with third parties as

necessary to carry out the provisions of this chapter.

(17) Develop strategies and procedures to prohibit the

20250HB0020PN2119 - 37 -

illicit cannabis market, including enforcement actions and

coordination with other government agencies to prohibit

unauthorized cannabis distribution and sales within the

Commonwealth.

(18) Develop and publish regulatory guidelines regarding

permitted excipients to be used in the processing of

cannabis.

(19) Commission an initial comprehensive market analysis

within 180 days of appointment, which shall be complete

within one year of commencement of the adult-use cannabis

program.

(20) Conduct comprehensive market analyzes every three

years.

(21) Establish and maintain a publicly accessible

Internet website that includes information related to adult

use cannabis as determined by the authority and required by

this chapter.

(22) Establish fines, fees and disciplinary action for

noncompliance with the seed-to-sale tracking system

requirements, including penalties.

(23) Establish a process for selecting a seed-to-sale

tracking system provider that, in addition to following

existing requirements in law and rules pertaining to the

selection of vendors to the State and authority, shall assess

the potential vendor's ability to provide:

(i) Comprehensive tracking of each cannabis plant

and cannabis or cannabis-infused edible and c annabis-

infused nonedible product.

(ii) Recent relevant experience in providing seed-

to-sale tracking services for cannabis plants and

20250HB0020PN2119 - 38 -

cannabis or cannabis-infused edible and c annabis-infused

nonedible products in other states, including a reporting

of any state contracts won and, if so, any state

contracts renewed at term.

(iii) Training and continued technical support to

the authority and any cannabis business establishment

permit holder.

(iv) Integration of third-party software solutions

into the seed-to-tracking system designated by the

authority. The use of any third-party tracking system

that integrates with the seed-to-sale tracking system

designated by the authority shall not relieve any

cannabis business establishment permit holder from

complying with the mandated use of the seed-to-sale

tracking system designated by the authority.

(v) List affiliations, including the parent company,

any equity holder of more than 5% and shared officers.

(24) Issue a competitive procurement to implement,

operate and maintain the seed-to-sale tracking system. The

procurement process shall be initiated immediately after the

effective date of this chapter and shall be in place once the

adult-use program is begun.

(25) Beginning January 1, 2026, and each year

thereafter, publish a written report on the authority's

publicly accessible Internet website, including a summary of

the supply chain activity using data obtained from the seed-

to-sale tracking system designated by the authority which

contains:

(i) Annual Statewide sales of cannabis or cannabis-

infused edible and c annabis-infused nonedible products.

20250HB0020PN2119 - 39 -

(ii) Total number of cultivated plants in the State.

(iii) Total number of plants in a vegetative state.

(iv) Total weight of harvested material.

(v) Average price per gram for cannabis or cannabis-

infused edible and c annabis-infused nonedible products.

(vi) Total number of cannabis plants or cannabis or

cannabis-infused edible and c annabis-infused nonedible

product recalls.

(vii) Whether or not all other public safety

concerns were addressed during the previous reporting

year.

(b) (Reserved).

§ 9134. Regulations.

(a) Promulgation.--The authority shall promulgate

regulations, with input from industry stakeholders, to implement

the provisions of this chapter and Chapter 93 (relating to

medical use of cannabis), including all of the following:

(1) The types of permits issued under this chapter,

including the following types of permits:

(i) Cultivation/processing.

(ii) Microcultivation.

(iii) Dispensing.

(iv) Testing.

(2) The methods and forms of permit applications,

including timeline, fees and minimum requirements.

(3) The policies and procedures to prioritize, promote

and encourage diversity and full participation by individuals

from communities that have been disproportionately harmed by

cannabis prohibition and cannabis enforcement prohibition.

(4) Procedures to process and competitively score permit

20250HB0020PN2119 - 40 -

applications.

(5) Procedures to process administrative requests,

including changes of ownership and location.

(6) Security procedures for cannabis business

establishments.

(7) Enforcement procedures, including fines, suspensions

and revocations.

(8) Ownership and financial disclosure procedures and

requirements for cannabis business establishments, including

recordkeeping requirements.

(9) Procedures and requirements concerning the

divestiture of a beneficial ownership interest by a person

found unqualified.

(10) Procedures, processes and requirements for

transfers of ownership, including the involvement of a

publicly traded corporation.

(11) Combining the medical program under Chapter 93 and

adult-use cannabis program under this chapter.

(12) Seed-to-sale tracking system procedures.

(13) Procedures and requirements for curbside pickup

services offered by dispensaries.

(14) Transportation requirements, including:

(i) Establishing procedures and requirements for

home delivery services by dispensaries.

(ii) A requirement that transportation between

cannabis business establishments occurs in secured

vehicles, but allowing for transportation in vehicles

other than those owned and operated by cannabis business

establishments for adult-use consumers to transport

cannabis.

20250HB0020PN2119 - 41 -

(iii) Details required on transportation manifests.

(iv) Policies encouraging bulk shipment where

appropriate.

(15) Labeling requirements, including:

(i) A product QR code generated by the

Commonwealth's seed-to-sale tracking system provider with

the purpose of providing additional product information

to the consumer.

(ii) A warning to prevent accidental or youth

consumption.

(iii) A universal symbol, approved by the ASTM

International, indicating the product contains cannabis.

(16) Cannabis-infused edible product requirements,

including the following:

(i) Ensuring that products are not likely to appeal

to minors.

(ii) Product safety regulations, including the

requiring of best manufacturing practices and appropriate

testing.

(iii) Standards for creating clearly delineated

individual servings.

(17) Advertising and marketing regulations that balance

the ability of a cannabis business establishment to engage in

reasonable marketing and promotional activities while:

(i) Ensuring that advertising and marketing does not

target minors.

(ii) Reasonably restricting access to minors by

taking steps to ensure that the audience will be

predominantly over 21 years of age for advertising and

marketing.

20250HB0020PN2119 - 42 -

(18) Product safety regulations, including:

(i) Regulations consistent with best practices for

food products, except where necessary modifications are

required due to the active compounds in the cannabis

plant.

(ii) Standards for packaging to address freshness,

tamper evidence and limiting access to children.

(iii) Standard symbols and warnings where the

authority shall review symbols and warnings from other

jurisdictions where cannabis sales are permitted.

(iv) A prohibition on packaging that is likely to

appeal to minors.

(19) Procedures for the investigation and enforcement of

unregulated and unpermitted cultivation, processing,

manufacturing, sale, dispensing or distribution of cannabis,

cannabis-infused edible or nonedible products or products

intended for consumption or inhalation in violation of this

part.

(b) Compliance deadline.--A permittee shall have 180 days

from the effective date of a new regulation promulgated by the

authority under this section to comply with the new regulation.

§ 9135. Temporary regulations.

(a) Promulgation.--The authority shall promulgate temporary

regulations no later than 90 days from the effective date of

this subsection. If the authority fails to promulgate temporary

regulations under this subsection, the failure shall not delay

or inhibit the ability of a current medical cannabis business

establishment on the effective date of this subsection from

commencing adult-use cannabis operations. The temporary

regulations under this subsection shall expire not later than

20250HB0020PN2119 - 43 -

two years after the effective date of this subsection and shall

not be subject to any of the following:

(1) Section 612 of the act of April 9, 1929 (P.L.177,

No.175), known as The Administrative Code of 1929.

(2) Sections 201, 202, 203, 204 and 205 of the act of

July 31, 1968 (P.L.769, No.240), referred to as the

Commonwealth Documents Law.

(3) Sections 204(b) and 301(10) of the act of October

15, 1980 (P.L.950, No.164), known as the Commonwealth

Attorneys Act.

(4) The act of June 25, 1982 (P.L.633, No.181), known as

the Regulatory Review Act.

(b) Compliance deadline.--A current medical cannabis

business establishment on the effective date of this subsection

that is authorized to cultivate, process, dispense or transport

cannabis under this chapter shall have 180 days from the

effective date of a new temporary regulation promulgated by the

authority under subsection (a) to comply with the temporary

regulation.

§ 9136. Confidentiality and public disclosure.

(a) Exempt from access.--All personal information obtained

by the authority relating to agents or adult-use consumers shall

be exempt from access under the act of February 14, 2008 (P.L.6,

No.3), known as the Right-to-Know Law.

(b) Public records.--

(1) Records are public records and shall be accessible

for inspection and duplication in accordance with the Right-

to-Know Law:

(i) Applications for permits submitted by a cannabis

business establishment.

20250HB0020PN2119 - 44 -

(ii) Information relating to penalties or other

disciplinary actions taken against a cannabis business

establishment or agent by the authority for violation of

this chapter.

(2) Private, security-related and trade secret

information is not subject to disclosure under this section.

§ 9137. Unauthorized activities and civil penalties.

(a) Unauthorized activities.--In addition to any other

penalty provided by Federal or State law, a person who

cultivates, processes, distributes, sells or offers for sale

adult-use cannabis, cannabis-infused edible or nonedible

products, cannabis concentrates, cannabis flower or any product

intended for consumption or inhalation in violation of section

9127 (relating to limitations and penalties) without a permit

issued by the authority shall be subject to a civil penalty not

to exceed $10,000 for each offense. Each day a person engages in

unauthorized activity under this subsection shall constitute a

separate offense.

(b) Enforcement.--The Attorney General, the authority, a

State or local law enforcement agency or a local government unit

may investigate an unauthorized activity under subsection (a)

and engage in enforcement measures, including entering into an

intergovernmental agreement to prevent the conduct of an

unauthorized activity under subsection (a).

penalty provided by Federal or State law, upon the conduct of a

third or subsequent unauthorized activity under subsection (a),

a local government unit may suspend or revoke the business

license of the person who engaged in the unauthorized activity.

(d) Violations.--A violation of subsection (a) is an unfair

20250HB0020PN2119 - 45 -

or deceptive act or practice under the act of December 17, 1968

(P.L.1224, No.387), known as the Unfair Trade Practices and

Consumer Protection Law. All remedies, penalties and authority

granted to the Attorney General under that act shall be

available for the enforcement of this chapter.

(e) Actions.--In addition to the authority granted to the

Attorney General under this section, any business or consumer

injured by a violation of subsection (a) may bring an action to

enjoin a business retailing, cultivating, manufacturing,

distributing or possessing adult-use cannabis without a permit

and to recover actual damages sustained. A court shall enter

judgment in an amount equal to three times actual damages and

shall have discretion to award punitive damages in an amount

commensurate with actual damages. The court shall award attorney

fees and costs to the prevailing party.

§ 9138. Community Opportunity Fund.

(a) Establishment.--The Community Opportunity Fund is

established in the State Treasury. Money in the Community

Opportunity Fund is appropriated on a continuing basis for the

purposes specified under this section and shall not lapse.

(b) Deposits.--Certain fees payable under this chapter shall

be deposited into the Community Opportunity Fund as specified

under this chapter. In addition, $3,000,000 of gross receipts of

revenue deposited into the Cannabis Regulation Fund shall be

transferred to the Community Opportunity Fund. The money

deposited into the Community Opportunity Fund may only be used

for the purposes specified under this chapter. Any interest

accrued shall be deposited into the Community Opportunity Fund.

Office of Social Equity, shall direct the investment of the

20250HB0020PN2119 - 46 -

Community Opportunity Fund. The State Treasurer shall credit to

the Community Opportunity Fund interest and earnings from

Community Opportunity Fund investment.

(d) Administrator.--The authority shall be the administrator

of the Community Opportunity Fund for auditing purposes.

(e) Purposes.--Money in the Community Opportunity Fund shall

be used for any of the following purposes:

(1) Providing low-interest-rate or zero-interest-rate

loans to qualified social and economic equity applicants to

pay for ordinary and necessary expenses to start and operate

a cannabis business establishment.

(2) Providing grants to qualified social and economic

equity applicants to pay for ordinary and necessary expenses

to start and operate a cannabis business establishment.

(3) Paying for outreach that may be provided or targeted

to attract and support social and economic equity applicants.

(4) Conducting studies or research concerning the

participation of minorities, women, veterans or individuals

with disabilities in the adult-use cannabis industry,

including barriers to individuals entering the industry as

equity owners of a cannabis business establishment.

(5) Assisting with job training and technical assistance

in disproportionately impacted areas.

(6) Assisting community organizations, offender reentry

programs, workforce development programs and other community

or advocacy programs in disproportionately impacted areas.

(f) Additional deposits.--All fees collected upon approval

of a dispensary permit and adult-use cultivation center permit

for current medical cannabis business establishments and

remunerations made as a result of transfers of permits awarded

20250HB0020PN2119 - 47 -

to qualified social and economic equity applicants shall be

deposited into the Community Opportunity Fund.

(g) Transfers.--As soon as practical, but not to exceed 90

days after the effective date of this subsection, the State

Treasurer shall transfer no less than eighty percent of the

total balance of the Medical Marijuana Program Fund into the

Community Opportunity Fund.

(h) Prohibition.--Notwithstanding any other provision of

law, the Community Opportunity Fund shall not be subject to

sweeps, administrative charge-backs or any other fiscal or

budgetary maneuver that would transfer money from the Community

Opportunity Fund into any other fund of the Commonwealth.

§ 9139. Governing practice and procedure.

The provisions of 2 Pa.C.S. (relating to administrative law

and procedure) shall apply to all actions of the authority under

this chapter constituting an adjudication as defined in 2

Pa.C.S. § 101 (relating to definitions).

SUBCHAPTER E

SOCIAL AND ECONOMIC EQUITY

Sec.

9141. Social and economic equity.

9142. Loans and grants to social and economic equity

applicants.

9143. Fee waivers.

9144. Transfer of permit awarded to qualified social and

economic equity applicant.

§ 9141. Social and economic equity.

The authority shall promote and take any necessary action to

ensure social and economic equity in the adult-use cannabis

industry in this Commonwealth. The authority shall partner with

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the Office of Social Equity in facilitating the loans and grants

under this chapter.

§ 9142. Loans and grants to social and economic equity

applicants.

(a) Loan and grant programs.--The authority, in partnership

with the Office of Social Equity, shall establish loan and grant

programs, subject to appropriations from the Community

Opportunity Fund, for the purposes of providing financial

assistance, loans, grants and technical assistance to social and

economic equity applicants. The authority, in partnership with

the Office of Social Equity may:

(1) provide cannabis social and economic equity loans

and grants from appropriations from the Community Opportunity

Fund to assist qualified social and economic equity

applicants in the Commonwealth's regulated adult-use cannabis

marketplace;

(2) enter into agreements that state the terms and

conditions of the financial assistance, accept money or

grants and engage in cooperation with private entities and

Commonwealth agencies or local government to carry out the

purposes of this section;

(3) fix, determine, charge and collect any premiums,

fees, charges, costs and expenses, including application

fees, commitment fees, program fees, financing charges or

publication fees, in connection with the Office of Social

Equity's activities under this section;

(4) coordinate assistance under loan programs with

activities of the authority and other Commonwealth agencies

as needed to maximize the effectiveness and efficiency of

this chapter;

20250HB0020PN2119 - 49 -

(5) provide staff, administration and related support

required to administer this section;

(6) take other necessary or appropriate actions to

protect the Commonwealth's interest in the event of

bankruptcy, default, foreclosure or noncompliance with the

terms and conditions of financial assistance provided under

this section, including the ability to recapture money if the

recipient is found to be in noncompliance with the terms and

conditions of the financial assistance agreement;

(7) establish application, notification, contract and

other forms, procedures or regulations deemed necessary and

appropriate; and

(8) utilize vendors or contract work to implement this

chapter.

(b) Conditions.--Loans made under this section shall meet

all of the following criteria:

(1) May only be granted if, in the judgment of the

authority and Office of Social Equity, the project furthers

the goals specified under this chapter.

(2) Be in a principal amount and form and contain terms

and provisions with respect to security, insurance,

reporting, delinquency charges, default remedies and other

matters as the authority and Office of Social Equity shall

determine appropriate to protect the public interest and to

be consistent with the purposes of this section.

on a competitive and annual basis and shall further and promote

the goals of this chapter, including promotion of social and

economic equity applicants, job training and workforce

development and technical assistance to social and economic

20250HB0020PN2119 - 50 -

equity applicants.

(d) Annual report.--Beginning January 1, 2026, and each year

thereafter, the Office of Social Equity shall annually report to

the Governor, the General Assembly and the authority, the

outcomes and effectiveness of this section, including all of the

following:

(1) The number of persons or businesses receiving

financial assistance under this section.

(2) The amount in financial assistance awarded in the

aggregate, in addition to the amount of loans made that are

outstanding and the amount of grants awarded.

(3) The location of the project engaged in by the person

or business.

(4) If applicable, the number of new jobs and other

forms of economic output created as a result of the financial

assistance.

(e) Additional outreach.--The authority and Office of Social

Equity shall include engagement with individuals with limited

English proficiency as part of its outreach provided or targeted

to attract and support social and economic equity applicants.

§ 9143. Fee waivers.

(a) Permit application fee waiver.--The authority may waive

or reduce the nonrefundable permit application fee,

nonrefundable fee associated with purchasing a permit to operate

a cannabis business establishment and any surety bond or other

financial requirement of a social and economic equity applicant

if at the time the payment is due, the social and economic

equity applicant, including each person with 10% or greater

ownership and each parent company, subsidiary or affiliate, has

less than a total of $750,000 of income in the previous calendar

20250HB0020PN2119 - 51 -

year.

(b) Attestation.--The authority may require a social and

economic equity applicant to attest that they meet the

requirements for a fee waiver under subsection (a) and provide

evidence of total annual income for the previous calendar year.

that an applicant who applied as a social and economic equity

applicant is not eligible under this section, the applicant

shall be provided an additional 10 days to provide alternative

evidence of qualification as a social and economic equity

applicant. The applicant may pay the remainder of the waived fee

and not be considered as a social and economic equity applicant.

If the applicant cannot meet the qualification standards or pay

the remainder of the waived fee, the authority may keep the

initial application fee and the application shall not be graded.

§ 9144. Transfer of permit awarded to qualified social and

economic equity applicant.

(a) Transfer, sale or grant of permit.--In the event a

qualified social and economic equity applicant seeks to

transfer, sell or grant a cannabis business establishment permit

to a person that does not qualify as a social and economic

equity applicant after one year from the date of issuance of the

permit and within five years after the permit was issued, the

transfer agreement shall require the new permit holder to pay

the authority an amount equal to all the following for deposit

into the Community Opportunity Fund:

(1) Fees that were waived by any Commonwealth agency

based on the applicant's status as a social and economic

equity applicant, if applicable.

(2) The outstanding amount owed by the qualified social

20250HB0020PN2119 - 52 -

and economic equity applicant for a loan through the

Community Opportunity Fund, if applicable.

(3) The amount of a grant awarded to the qualified

social and economic equity applicant from the authority, in

partnership with the Office of Social Equity, if applicable.

(b) Applicability.--Transfers of a cannabis business

establishment permit awarded to a social and economic equity

applicant shall be subject to all other provisions of this

chapter.

SUBCHAPTER F

REGULATION OF CANNABIS BUSINESS ESTABLISHMENTS

Sec.

9151. Permit required.

9152. Powers and duties of authority.

9153. Authorization of current medical cannabis business

establishments to commence dispensing cannabis for

adult use.

9154. Issuance of dispensary permits to qualified social and

economic equity applicants.

9155. New dispensary permits.

9156. Selection criteria for social and economic equity and new

dispensary permits.

9157. Dispensary operational requirements and prohibitions.

9158. Dispensing cannabis.

9159. Agent-in-charge.

9159.1. Inventory control system.

9159.2. Storage requirements.

9159.3. Destruction and disposal of cannabis.

9159.4. Security measures.

9159.5. Recordkeeping.

20250HB0020PN2119 - 53 -

9159.6. Issuance of adult-use cultivation center permits.

9159.7. Authorization of current medical cannabis

grower/processor permit holders to grow cannabis for

adult use.

9159.8. New adult-use cultivation center permits.

9159.9. Adult-use cultivation center requirements and

prohibitions.

9159.10. Issuance of microcultivation center permits.

9159.11. Microcultivation center permit applications.

9159.12. Selection criteria for microcultivation center

permits.

9159.13. Microcultivation center requirements and prohibitions.

9159.14. Labor Peace Agreements.

9159.15. Agent identification cards.

9159.16. Affiliation.

9159.17. Renewal of cannabis business establishment permits and

agent identification cards.

9159.18. Relocation.

9159.19. Warehousing and distribution permits.

§ 9151. Permit required.

A person may not operate a cannabis business establishment

for the purpose of cultivating, processing, dispensing or

transporting adult-use cannabis or cannabis-infused edible or

nonedible products without a permit issued under this chapter. A

person may not be an officer, director, manager or agent of a

cannabis business establishment without having been authorized

by the authority.

§ 9152. Powers and duties of authority.

Subject to the provisions of this chapter, the authority may

exercise the following powers and duties:

20250HB0020PN2119 - 54 -

(1) Prescribe forms to be issued for the administration

and enforcement of this chapter.

(2) Examine, inspect and investigate the premises,

operations and records of cannabis business establishment

applicants and permittees.

(3) Conduct investigations of possible violations of

this chapter pertaining to a cannabis business establishment

and cannabis business establishment agents.

(4) Conduct hearings on proceedings to refuse to issue,

renew, revoke or suspend permits or to place on probation,

reprimand or otherwise discipline a permittee or agent under

this chapter or take other nondisciplinary action.

(5) Adopt regulations required for the administration of

this chapter.

§ 9153. Authorization of current medical cannabis business

establishments to commence dispensing cannabis for

adult use.

(a) Dual use permits.--No later than 90 days after the

effective date of this section, a medical cannabis business

establishment holding a dispensary permit granted under

Subchapter E (relating to medical use of cannabis business

establishments) or I (relating to academic clinical research

centers and clinical registrants) of Chapter 93 (relating to

medical use of cannabis) shall be authorized to commence selling

cannabis for adult use at a dispensary operating under Chapter

93. A medical cannabis business establishment shall pay a fee of

$100,000 to the authority, which shall be deposited into the

Community Opportunity Fund, before commencing the sale of adult-

use cannabis.

(b) Delay or inhibit operations.--The failure of the

20250HB0020PN2119 - 55 -

authority to promulgate regulations shall not delay or inhibit

the ability of a medical cannabis business establishment under

subsection (a) from commencing the sale of adult-use cannabis at

a dispensary operating under Chapter 93. If the authority fails

to authorize a medical cannabis organization under subsection

(a) from commencing the sale of adult-use cannabis at a

dispensary operating under Chapter 93 within 90 days from the

effective date of this subsection, the medical cannabis business

establishment shall automatically be authorized to commence

adult-use cannabis sales.

§ 9154. Issuance of dispensary permits to qualified social and

economic equity applicants.

(a) Social and economic equity dispensary permits.--In

addition to the dual use permits authorized under section 9153

(relating to authorization of current medical cannabis business

establishments to commence dispensing cannabis for adult use),

the authority shall issue dispensary permits to qualified social

and economic equity applicants. The permit shall authorize the

social and economic equity dispensary permit holder to operate

at a single location to serve adult-use consumers and patients

in this Commonwealth. The authority may issue an initial 60

social and economic equity dispensary permits.

(b) Limitation.--An applicant may file no more than three

applications for a social and economic equity dispensary permit

in any single application period.

(1) The authority shall develop an application, and the

social and economic equity applicants may apply, for a social

and economic equity dispensary permit.

(2) The permit shall authorize the social and economic

20250HB0020PN2119 - 56 -

equity applicant to operate at a single location to serve

adult-use consumers and patients in this Commonwealth.

(d) Applications.--A qualified social and economic equity

applicant seeking a dispensary permit shall submit an

application on a form provided by the authority. The application

shall include information in at least the following categories

as determined by the authority:

(1) The fees to be paid.

(2) A business plan that complies with the requirements

under this chapter.

(3) A security plan.

(4) An inventory control plan.

(5) A plan for community engagement.

(6) Written policies and procedures regarding

recordkeeping, inventory control, safety, security, diversion

and diversity.

(7) Facility plans, including floor plans, security

overlay and specifications of the building exterior and

interior layout.

(8) The physical address of the social and economic

equity applicant's proposed facility, including the

following, as applicable:

(i) Evidence of the social and economic equity

applicant's clear legal title to or option to purchase

the proposed facility.

(ii) A fully-executed copy of the social and

economic equity applicant's unexpired lease for the

proposed facility that includes the consent of the

property owner for the use of the proposed property and

facility for the term of the initial permit.

20250HB0020PN2119 - 57 -

(iii) Other evidence satisfactory to the authority

that shows the social and economic equity applicant has

the authority, or will have the authority prior to the

date of license issuance, to use the proposed property

and facility for the term of the permit.

(9) A copy of each relevant local zoning ordinance and

documentation, if necessary, of approval from the local

zoning office that the proposed dispensary location is in

compliance with each local zoning ordinance.

(10) Information regarding each principal officer.

(11) Evidence of the applicant's status as a social and

economic equity applicant.

(12) An executed labor peace agreement between a bona

fide labor organization and the applicant. This agreement

shall be an ongoing material condition of licensure.

(e) Deficiency notice.--If the authority receives an

application that fails to provide the required elements under

subsection (c), the authority shall issue a deficiency notice to

the qualified social and economic equity applicant. The

qualified social and economic equity applicant shall have 30

calendar days from the date of the deficiency notice to submit

the complete information.

(f) Review.--Upon receipt of all of the required information

and documents under this section, the authority shall review the

application of the qualified social and economic equity

applicant. The following shall apply:

(1) The authority may request revisions and retain final

approval over retail site features.

(2) The authority shall approve the permit upon

satisfactory review of the application.

20250HB0020PN2119 - 58 -

(3) Final approval for each individual dispensary

location shall be contingent on the completion of

construction of the dispensary location, authority

inspections and providing the authority with any information

specified under subsection (c) relating to the dispensary

location that was not provided during the initial application

process.

(g) Authorization.--The authority may only authorize the

sale of cannabis at a social and economic equity dispensary

permit holder's dispensary location after the completion of a

successful inspection of the location. The authority shall

inspect the location within 14 days of a written request by a

social and economic equity dispensary permit holder.

(h) Successful inspection.--If the permit holder passes the

inspection under this section, the authority shall authorize the

sale of cannabis at the dispensary within 10 business days.

(i) Notification of opening date.--Once the authority has

authorized the sale of cannabis at a social and economic equity

dispensary location, the social and economic equity dispensary

permit holder shall notify the authority of the proposed opening

date.

(j) Initial sale.--Upon issuance of a permit, a social and

economic equity dispensary permit holder may begin selling

adult-use cannabis, cannabis-infused edible and nonedible

products, cannabis paraphernalia and related items to patients

and adult-use consumers. Medical cannabis seeds and immature

plants may be offered, but are not required to be available for

sale by the permit holder, for sale to certified medical

patients only.

(k) Deposit.--All fees collected under this section shall be

20250HB0020PN2119 - 59 -

deposited into the Cannabis Regulation Fund, unless otherwise

specified.

(l) Issuance of social and economic equity dispensary

permits.--The selection criteria and issuance of social and

economic equity dispensary permits issued under this section

shall be performed in accordance with section 9156 (relating to

selection criteria for social and economic equity and new

dispensary permits).

§ 9155. New dispensary permits.

(a) Dispensary permits.--The authority shall be the

exclusive entity authorized to issue new dispensary permits.

Separate and apart from any dispensing organization permits

issued to medical cannabis organizations under section 9153

(relating to authorization of current medical cannabis

organizations to commence dispensing cannabis for adult use),

and to social and economic equity applicants under section 9154

(relating to issuance of dispensary permits to qualified social

and economic equity applicants), after January 1, 2026, the

authority shall issue up to 12 additional dispensary permits to

applicants that are any of the following:

(1) A disadvantaged business.

(2) A diverse business.

(3) A small business.

(b) Dispensing.--Additional dispensary permits awarded under

this section shall authorize the permit holders to operate at a

single location to serve adult-use consumers and patients in

this Commonwealth.

of dispensary permittees throughout this Commonwealth, the

authority shall determine how many permits should be awarded

20250HB0020PN2119 - 60 -

across this Commonwealth through a merit-based application

process. An applicant may file no more than one application in a

single application period for dispensing organization permit

under this section.

(d) Permit application.--An applicant seeking issuance of a

dispensary permit shall submit an application on a form provided

by the authority. The application shall include information in

at least the following categories as determined by the

authority:

(1) The fees to be paid, if applicable.

(2) A business plan that complies with the requirements

under this chapter.

(3) A security plan.

(4) An inventory control plan.

(5) A plan for community engagement.

(6) Written policies and procedures regarding

recordkeeping, inventory control, safety, security and

diversity.

(7) Facility plans, including floor plans, security

overlay and specifications of the building exterior and

interior layout.

(8) The physical address of the applicant's proposed

facility, including the following, as applicable:

(i) Evidence of the applicant's clear legal title to

or option to purchase the proposed facility.

(ii) A fully-executed copy of the applicant's

unexpired lease for the proposed facility that includes

the consent of the property owner for the use of the

proposed property and facility for the term of the

initial permit.

20250HB0020PN2119 - 61 -

(iii) satisfactory documentation that shows the

applicant has the authority, or will have the authority

prior to the date of license issuance, to use the

proposed property and facility for the term of the

permit.

(9) A copy of each relevant local zoning ordinance and

documentation, if necessary, of approval from the local

zoning office that the proposed dispensary location is in

compliance with each local zoning ordinance.

(10) Information regarding each principal officer.

(11) Evidence of the applicant's status as a

disadvantaged business, diverse business or small business.

(e) Operations.--An applicant who receives a dispensary

permit under this section shall have one calendar year from the

date of the award to become operational. The following shall

apply:

(1) If the applicant does not receive approval to

commence operations at one of the applicant's locations

within one calendar year of the permit award, the authority

may revoke the permit absent good reason for the delay shown

by the applicant.

(2) Before a new dispensary receives authorization to

commence building a dispensary, the authority shall inspect

the physical space selected by the permittee.

(3) The authority shall verify the site is suitable for

public access, including the following:

(i) That the site's layout promotes the safe

dispensing of adult-use cannabis.

(ii) That the site's location is sufficient in size,

power allocation, lighting, parking, handicapped-

20250HB0020PN2119 - 62 -

accessible parking spaces, accessible entry and exits as

required by the Americans with Disabilities Act of 1990

(Public Law 101-336, 104 Stat. 327), product handling and

storage.

(f) Additional permits.--In addition to the dispensing

permits to be awarded in subsection (a) of this section, the

authority shall conduct a comprehensive market analysis to

determine whether a need exists to modify or raise the number of

dispensary permits awarded to disadvantaged businesses, diverse

businesses, and small businesses. In determining whether to

exercise the authority granted under the subsection, the

authority shall consider the following factors:

(1) The percentage of cannabis sales occurring in this

Commonwealth not in the regulated market.

(2) Whether there is an adequate supply of cannabis and

cannabis-infused edible and nonedible products to serve

patients under Chapter 93 (relating to medical use of

cannabis).

(3) Whether there is an adequate supply of cannabis and

cannabis-infused edible and nonedible products to serve

adult-use consumers.

(4) Whether there is an oversupply of cannabis in this

Commonwealth leading to trafficking of cannabis to states

where the sale of cannabis is not permitted by law.

(5) Population increases or shifts.

(6) The density of dispensaries in any area of this

Commonwealth.

(7) Perceived security risks of increasing the number or

location of dispensaries.

(8) The past safety record of dispensary permittees.

20250HB0020PN2119 - 63 -

(9) The authority's capacity to appropriately regulate

additional permittees.

(10) Participation in the market by social and economic

equity applicants and disadvantaged, diverse and small

businesses.

(11) Any other criteria the authority deems relevant.

(g) Limitations.--The authority may not issue more than

three individual dispensary permits to a single disadvantaged

business, diverse business or small business.

(h) Previously surrendered or revoked dispensary permits.--

Beginning one year after the effective date of this subsection,

the authority shall publish no later than December 5 of each

year a list of any permit surrendered or revoked under this

chapter on the authority's publicly accessible Internet website.

The authority shall accept applications for the licenses that

appear on this list no later than January 15 of each year,

submitted by an applicant, that is any of the following:

(1) A social and economic equity applicant under section

9154 (relating to issuance of dispensary permits to qualified

social and economic equity applicants).

(2) A disadvantaged business.

(3) A diverse business.

(4) A small business.

§ 9156. Selection criteria for social and economic equity and

new dispensary permits.

(a) Incomplete application.--Failure by an applicant to

submit to the authority all required information under sections

9154 (relating to issuance of dispensary permits to qualified

social and economic equity applicants) and 9155 (relating to new

dispensary permits) may result in the application being

20250HB0020PN2119 - 64 -

disqualified. If the authority receives an application that

fails to provide the required elements in a section, that

section shall not be scored.

(b) Application scoring.--The authority shall, by rule,

develop a merit-based scoring system in which to award new

dispensary permits.

shall be awarded points on applications as determined by the

authority.

(d) Anonymity.--Applications for dispensary permits shall be

scored by the authority anonymously in accordance with

regulations promulgated by the authority, which shall include

tie-breaker language that governs the process through which some

applicants are to be awarded permits when multiple applicants

receive the same application score and the awarding of permits

to all tied applicants would result in awarding more permits

than is permissible under this chapter. Any tie-breaking process

shall be designed to ensure clarity, transparency and fairness.

(e) Review.--Each application for a dispensary permit shall

be reviewed and scored by three individuals who score each

application independently. An applicant's score in each category

under subsection (c) shall be an average of the three scores

awarded by each individual score. An applicant may not receive

full points simply for providing responsive information on a

section of the application.

§ 9157. Dispensary operational requirements and prohibitions.

(a) Requirements and prohibitions.--A dispensary shall

operate in accordance with the representations made in its

application and permit materials. A dispensary shall be in

compliance with this chapter and the regulations promulgated

20250HB0020PN2119 - 65 -

under this chapter. The following shall apply:

(1) All adult-use cannabis, cannabis concentrates,

cannabis-infused edible and nonedible products and cannabis

seeds shall be obtained from an adult-use cultivation center,

microcultivation center or another dispensary registered in

this Commonwealth.

(2) A dispensary:

(i) Shall inspect and count product received from an

adult-use cultivation center, microcultivation center or

other dispensary before dispensing it.

(ii) May only accept cannabis deliveries into a

restricted access area. Deliveries may not be accepted

through the public or limited access areas unless

otherwise approved by the authority.

(iii) Shall maintain compliance with Commonwealth

and local building, fire and zoning requirements or

regulations.

(iv) Shall submit a list to the authority of the

names of all service professionals that will work at the

dispensary. The list shall include a description of the

type of business or service provided. The authority shall

be promptly notified of any changes to the service

professional list. No service professional shall work in

the dispensary until the name is provided to the

authority on the service professional list.

(v) May operate between 6 a.m. and 10 p.m. local

time or as determined by the local municipality.

(vi) Shall keep all lighting outside and inside the

dispensary in good working order and wattage sufficient

for security cameras.

20250HB0020PN2119 - 66 -

(vii) Shall keep, in good working order, all air

treatment systems that will be installed to reduce odors.

(viii) Shall ensure that any building or equipment

used by a dispensary for the storage or sale of adult-use

cannabis are maintained in a clean and sanitary

condition.

(ix) Shall be free from infestation by insects,

rodents or pests.

(x) Shall develop a recall policy and procedure as

approved by the authority.

(3) A dispensary may not:

(i) Cultivate, process or manufacture cannabis.

(ii) Accept a cannabis-infused edible and nonedible

product from an adult-use cultivation center,

microcultivation center or dispensary unless it is

prepackaged and labeled in accordance with this chapter

and regulations that may be promulgated in accordance

with this chapter.

(iii) Obtain adult-use cannabis or cannabis-infused

edible and nonedible products from outside this

Commonwealth.

(iv) Sell adult-use cannabis or cannabis-infused

edible and nonedible products to adult-use consumer

unless the individual has been verified to be 21 years of

age or older or if the dispensary maintains a medical

cannabis permit under Chapter 93 (relating to medical use

of cannabis) and the individual is registered under

Chapter 93.

(v) Enter into agreements to allow persons that are

not cannabis business establishment agents to deliver

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cannabis or to transport cannabis to adult-use consumers,

other than through home delivery services approved by the

authority.

(vi) Operate a dispensary if the:

(A) Dispensary's video surveillance equipment is

inoperative.

(B) Point-of-sale equipment is inoperative.

inoperative, unless the dispensary has the ability to

record, including electronically, transactions to

upload to the cannabis seed-to-seed tracking system

once the system is operational.

(vii) Have fewer than two individuals working at any

time while the dispensary is open.

(viii) Sell clones or any other live cannabis plant

material, unless sales are limited to certified medical

patients pursuant to Chapter 93.

(ix) Shall not be located in an area zoning for

residential use or within 1,500 feet of the property line

of another dispensary. This setback shall not apply to

current medical cannabis establishments at their current

locations.

(x) Violate any other requirements or prohibitions

specified by the authority.

(b) Regulations.--The authority shall promulgate

regulations, within 180 days following the release of temporary

regulations, specifying operational requirements for

dispensaries, consistent with the provisions of this chapter,

including the operational requirements and prohibitions

contained in this section.

20250HB0020PN2119 - 68 -

§ 9158. Dispensing cannabis.

(a) Dispensing criteria.--Prior to a cannabis business

establishment agent dispensing cannabis, the agent shall:

(1) Verify the age of the adult-use consumer and

validity of the government-issued identification card of the

adult-use consumer by use of an electronic reader or

electronic scanning device, unless otherwise permitted by the

authority, to scan the government-issued identification, if

applicable.

(2) Enter the following information into the seed-to-

sale tracking system:

(i) The agent's identification number.

(ii) The amount and type, including strain, if

applicable, of adult-use cannabis or cannabis-infused

edible and nonedible product dispensed.

(iii) The date and time the adult-use cannabis or

cannabis-infused edible and nonedible product was

dispensed.

(b) Refusal to sell.--A dispensary shall refuse to sell

cannabis or cannabis-infused edible and nonedible products under

any of the following circumstances:

(1) To an individual unless the individual produces

valid identification showing that the individual is 21 years

of age or older. A dispensary under Chapter 93 (relating to

medical use of cannabis) may sell cannabis or cannabis-

infused edible and nonedible products to an individual who is

younger than 21 years of age if the sale complies with the

provisions of Chapter 93.

(2) To an individual who is disqualified by the

authority.

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identification shall:

(1) Be valid and unexpired.

(2) Contain a photograph and the date of birth of the

person.

§ 9159. Agent-in-charge.

(a) Designation.--A dispensary shall designate, at a

minimum, one agent-in-charge for each permitted dispensary. The

designated agent-in-charge shall hold an agent identification

card. Maintaining an agent-in-charge shall be a continuing

requirement for the dispensary permit, except as provided under

subsection (e).

(b) Requirements.--The agent-in-charge shall be on-site

managers or full-time agents of the dispensary and shall manage

the dispensary. The following shall apply:

(1) Managing the dispensary shall include:

(i) Responsibility for opening and closing the

dispensary.

(ii) Delivery acceptance.

(iii) Oversight of sales and cannabis business

establishment agents.

(iv) Recordkeeping.

(v) Inventory.

(vi) Cannabis business establishment agent training.

(vii) Compliance with this chapter, including the

responsibility for maintaining all files subject to audit

or inspection by the authority at the dispensary.

(2) Except as provided under paragraph (3), the agent-

in-charge shall, within 10 days, notify the authority of a

change of information required to be reported to the

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authority.

(3) In the case of a dispensary employee who has

diverted cannabis or cannabis-infused edible or nonedible

products or has intentionally dispensed cannabis or cannabis-

infused edible or nonedible products in a manner not

consistent with this chapter, the notification required under

paragraph (2) to the authority shall be made within 48 hours.

charge manages the dispensary, the authority may consider the

responsibilities identified in this section, the number of

cannabis business establishment agents under the supervision of

the agent-in-charge and the employment relationship between the

agent-in-charge and the dispensary, including the existence of a

contract for employment and any other relevant fact or

circumstance.

(d) Change in status.--The agent-in-charge shall be

responsible for notifying the authority of a change in the

employment status of a cannabis business establishment agent

within 10 business days after the change, including notice to

the authority if the termination of an agent was for diversion

of product or theft of currency.

(e) Vacancy.--In the event of the separation of an agent-in-

charge due to death, incapacity, termination or any other reason

and if the dispensary does not have an active agent-in-charge,

the dispensary shall immediately contact the authority and

request temporary authority allowing the continuing operation.

The request shall include the name of an interim agent-in-charge

until a succeeding agent-in-charge is identified or shall

include the name of the replacement. The authority may not delay

in granting the temporary authority, and the dispensary shall be

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permitted to operate while obtaining authority approval for an

interim agent-in-charge. A temporary authority may not be valid

for more than 90 days. The succeeding agent-in-charge shall

Once the permanent succeeding agent-in-charge is registered with

the authority, the temporary authority shall be void.

(f) Registration.--The dispensary agent-in-charge

registration shall expire one year from the date of issuance.

The agent-in-charge's registration shall be renewed annually.

(g) Termination.--Upon termination of an agent-in-charge's

employment, the dispensary shall immediately reclaim the agent

identification card. The dispensary shall promptly return the

agent identification card to the authority.

(h) Application denial.--The authority may deny a new

application or a renewal or discipline or revoke an agent-in-

charge identification card for any of the following reasons:

(1) Submission of misleading, incorrect, false or

fraudulent information in the application or renewal

application.

(2) Violation of the requirements of this chapter or

regulations.

(3) Fraudulent use of an agent identification card.

(4) Selling, distributing, transferring in any manner or

giving cannabis to any unauthorized person.

(5) Theft of cannabis, currency or any other items from

a dispensary.

(6) Tampering with, falsifying, altering, modifying or

duplicating an agent-in-charge identification card.

(7) Tampering with, falsifying, altering or modifying

the surveillance video footage, point-of-sale system,

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cannabis seed-to-sale tracking system or the Commonwealth's

verification system.

(8) Failure to notify the authority immediately upon

discovery that the agent-in-charge identification card has

been lost, stolen or destroyed.

(9) Failure to notify the authority within 10 business

days after a change in the information provided in the

application for an agent-in-charge identification card.

(10) Intentionally dispensing to adult-use consumers in

amounts above the limits provided in this chapter.

(11) Failure to notify the authority within 48 hours

after a determination that a dispensary employee has diverted

cannabis or cannabis-infused edible or nonedible products or

has intentionally dispensed cannabis or cannabis-infused

edible or nonedible products in a manner not consistent with

this chapter.

(12) Failure to provide or maintain a labor peace

agreement with a bona fide labor organization.

§ 9159.1. Inventory control system.

(a) Inventory.--A dispensary agent-in-charge shall have

primary oversight of the dispensary's cannabis inventory point-

of-sale system. The inventory point-of-sale system shall be

real-time, web-based, open API, two-way communication and

accessible by the authority at any time. The point-of-sale

system shall track, at a minimum, the date of sale, amount,

price and currency.

(b) Account.--A dispensary shall establish an account with

the authority's verification system that documents:

(1) Each sales transaction at the time of sale and each

day's beginning inventory, acquisitions, sales, disposal and

20250HB0020PN2119 - 73 -

ending inventory.

(2) Acquisition of cannabis and cannabis-infused edible

and nonedible products from a permitted adult-use cultivation

center or microcultivation center, including:

(i) A description of the products, including the

quantity, strain, variety and batch number of each

product received.

(ii) The name and registry identification number of

the permitted adult-use cultivation center or

microcultivation center providing the cannabis and

cannabis-infused edible and nonedible products.

(iii) The name and registry identification number of

the permitted cannabis business establishment agent

delivering the cannabis.

(iv) The name and registry identification number of

the cannabis business establishment agent receiving the

cannabis.

(v) The date of acquisition.

(3) The disposal of cannabis, including:

(i) A description of the products, including the

quantity, strain, variety, batch number and reason for

the cannabis disposal.

(ii) The method of disposal.

(iii) The date and time of disposal.

cultivation center or a microcultivation center, a dispensary

shall confirm that the product's name, strain name, weight and

identification number on the manifest matches the information on

the cannabis, cannabis-infused edible and nonedible product

label and package. The product name listed and the weight listed

20250HB0020PN2119 - 74 -

in the Commonwealth's verification system shall match the

product packaging.

(d) Inventory.--The agent-in-charge shall conduct a daily

inventory reconciliation documenting and balancing cannabis

inventory by confirming that the authority's verification system

matches the dispensary's point-of-sale system and the amount of

physical product at the dispensary. The following shall apply:

(1) A dispensary shall provide a reason for an inventory

adjustment. Inventory adjustment documentation shall be kept

at the dispensary or maintained electronically for two years

from the date performed.

(2) If the dispensary identifies an anomaly in the

amount of cannabis after the daily inventory reconciliation

due to a mistake, the dispensary shall determine how the

anomaly occurred and take and document corrective action. The

dispensary shall work diligently to determine the reason for

the anomaly and document steps on how to address the anomaly.

(3) If the dispensary identifies a discrepancy in the

amount of cannabis after the daily inventory reconciliation

or through other means due to theft, criminal activity or

suspected criminal activity, the dispensary shall determine

how the diversion occurred and take and document corrective

action. Within 48 hours after the first discovery of the

diversion due to theft, criminal activity or suspected

criminal activity, the dispensary shall inform the authority

and the Pennsylvania State Police in writing.

(4) The dispensary shall file an annual compilation

report to the authority in a manner determined by the

authority.

(e) Documentation.--A dispensary shall have all of the

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following duties:

(1) Maintain the documentation required under this

section in a secure locked location at the dispensary, an

off-site approved office or electronically for two years from

the date on the document.

(2) Provide any documentation required to be maintained

in this section to the authority for review upon request.

(3) If maintaining a bank account, retain for a period

of two years, electronically or otherwise, a record of each

deposit or withdrawal from the bank account.

(f) Return policy.--If a dispensary chooses to have a return

policy for cannabis and cannabis-infused edible and nonedible

products, the dispensary shall seek prior approval from the

authority, including written policies as to how returned

cannabis or cannabis-infused edible and nonedible products will

be stored and quarantined from other inventory.

§ 9159.2. Storage requirements.

(a) Authorized on-premises storage.--A dispensary shall

store inventory on its premises. All inventory stored on the

premises shall be secured in a restricted access area and

tracked consistently with the inventory tracking regulations. A

dispensary shall be of suitable size and construction to

facilitate cleaning, maintenance and proper operations and shall

maintain adequate lighting, ventilation, temperature, humidity

control and equipment.

(b) Tampered containers.--A cannabis container that has been

tampered with, damaged or opened shall be labeled with the date

opened, if known, and quarantined from other cannabis-infused

edible and nonedible products in the vault until the cannabis-

infused edible and nonedible products are disposed. Cannabis

20250HB0020PN2119 - 76 -

that was tampered with, expired or damaged may not be stored at

the premises for more than 14 calendar days.

container and clearly labeled. Samples shall be maintained in

the restricted access area.

(d) Storage.--The dispensary storage areas shall be

maintained in accordance with the security requirements of this

chapter and any regulations promulgated by the authority.

Cannabis shall be stored at appropriate temperatures and under

appropriate conditions to help ensure that the packaging,

strength, quality and purity are not adversely affected.

§ 9159.3. Destruction and disposal of cannabis.

(a) Destruction.--Cannabis and cannabis-infused edible and

nonedible products shall be destroyed by rendering the cannabis

and cannabis-infused edible and nonedible products unusable

using methods approved by the authority and promptly disposed of

in a manner that complies with this chapter and regulations

promulgated by the authority. Disposal of the cannabis waste

rendered unusable may be delivered to a permitted solid waste

facility for final disposition. Acceptable permitted solid waste

facilities shall include all of the following:

(1) Compostable facilities.

(2) Noncompostable mixed-waste facilities.

(b) Waste inventory.--Waste and unusable cannabis, cannabis

concentrate or a cannabis-infused edible and nonedible product

shall be weighed, recorded and entered into the seed-to-sale

tracking system prior to rendering it unusable. Verification of

waste inventory shall be performed by an employee who is a

manager and conducted in an area with video surveillance.

Electronic documentation of destruction and disposal shall be

20250HB0020PN2119 - 77 -

maintained for a period of at least two years.

§ 9159.4. Security measures.

A dispensary shall implement security measures to protect the

premises and adult-use consumers and deter and prevent entry

into and theft of cannabis or currency in accordance with the

regulations promulgated under this chapter as determined by the

authority.

§ 9159.5. Recordkeeping.

(a) Record retention.--Dispensary records shall be

maintained electronically for two years and be available for

inspection by the authority upon request. The required written

records shall include all of the following:

(1) Operating procedures.

(2) Inventory records, policies and procedures.

(3) Security records, not including video footage

retained under section 9159.4 (relating to security

measures).

(4) Audit records.

(5) Staff training plans and completion documentation.

(6) Staffing plan.

(7) Business records, including:

(i) Assets and liabilities.

(ii) Monetary transactions.

(iii) Written or electronic accounts, including bank

statements, journals, ledgers and supporting documents,

agreements, checks, invoices, receipts and vouchers.

(iv) Any other financial accounts reasonably related

to the dispensary operations.

(b) Storage and transfer of records.--If a dispensary closes

due to insolvency, revocation, bankruptcy or for any other

20250HB0020PN2119 - 78 -

reason, all records required to be maintained shall be preserved

and provided to the authority.

§ 9159.6. Issuance of adult-use cultivation center permits.

(a) Modifications or changes.--Following the completion of a

comprehensive market analysis, the authority may, by rule, do

any of the following:

(1) Modify or change the number of new adult-use

cultivation center permits available.

(2) Modify or change the permitting application process

to reduce or eliminate the barriers to permits, particularly

for social and economic equity applicants, and shall make

modifications to remedy evidence of discrimination.

(b) Additional permits.--If the authority determines that

additional adult-use cultivation center permits should be issued

other than those permits issued to current medical cannabis

grower/processors, the authority shall ensure that

microcultivation center permit holders are provided the first

opportunity to apply for, and be awarded, the additional permits

prior to accepting additional applications.

§ 9159.7. Authorization of current medical cannabis

grower/processor permit holders to grow cannabis for

adult use.

(a) Dual use cultivation center permits.--A medical cannabis

business establishment holding a grower/processor permit granted

under Subchapter E (relating to medical cannabis business

establishments) or I (relating to academic clinical research

centers and clinical registrants) of Chapter 93 (relating to

medical use of cannabis) shall, within 90 days from the

effective date of this subsection, be authorized by the

authority to commence selling adult use cannabis as an adult use

20250HB0020PN2119 - 79 -

cultivation center. A medical cannabis business establishment

holding a grower/processor permit granted under Subchapter E or

K of Chapter 93 shall pay a nonrefundable permit fee of $250,000

to the authority, which shall be deposited into the Cannabis

Regulation Fund.

(b) Delay or inhibit operations.--The failure of the

authority to promulgate regulations shall not delay or inhibit

the ability of a medical cannabis business establishment under

subsection (a) from commencing the sale of cannabis for adult

use at a grower/processor facility operating under Chapter 93.

If the authority fails to authorize a medical cannabis business

establishment under subsection (a) from commencing the sale of

cannabis for adult use at a grower/processor facility operating

under Chapter 93 within 90 days from the effective date of this

subsection, the medical cannabis business establishment shall

automatically be authorized to commence cannabis sales for adult

use.

center which is a medical cannabis business establishment

operating under this chapter and Chapter 93 shall be subject to

the provisions of both chapters.

§ 9159.8. New adult-use cultivation center permits.

If the authority makes available an additional adult-use

cultivation center permit, the authority shall determine the

requirements of an application for the permit and selection

criteria and promulgate regulations as necessary to implement

this section.

§ 9159.9. Adult-use cultivation center requirements and

prohibitions.

(a) Requirements.--The operating documents of an adult-use

20250HB0020PN2119 - 80 -

cultivation center shall include procedures for the oversight of

the adult-use cultivation center, tracking cannabis, including a

physical inventory recorded weekly, accurate recordkeeping and a

staffing plan.

(b) Security plan.--An adult-use cultivation center shall

implement a security plan that includes facility access

controls, perimeter intrusion detection systems, personnel

identification systems, a 24-hour surveillance system to monitor

the interior and exterior of the adult-use cultivation center

facility and accessibility to authorized law enforcement and the

authority in real time.

cultivation center shall take place in an enclosed, locked

facility at the physical address provided to the authority

during the licensing process. The adult-use cultivation center

location shall only be accessed by the agents working for the

adult-use cultivation center, the authority staff performing

inspections and State law enforcement or other emergency

personnel, contractors working on jobs unrelated to cannabis or

other individuals as provided by rule.

(d) Sale prohibited.--An adult-use cultivation center may

not sell or distribute any cannabis or cannabis-infused edible

and nonedible products to any person other than a dispensary or

as otherwise authorized by rule of the authority.

(e) Pricing.--An adult-use cultivation center may not either

directly or indirectly discriminate in price between different

dispensaries that are purchasing a like grade, strain, brand and

quality of cannabis or cannabis-infused edible or nonedible

product. Nothing in this subsection shall prevent adult-use

cultivation centers from pricing cannabis differently based on

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differences in cannabinoid content, in the cost of manufacturing

or processing, the quantities sold, including volume discounts,

or the way the products are delivered.

(f) Inventory tracking system.--All cannabis harvested by an

adult-use cultivation center and intended for distribution to a

dispensary shall be entered into inventory tracking system,

packaged and labeled and placed into a cannabis container for

transport.

(g) Random inspection.--An adult-use cultivation center

shall be subject to random inspections by the authority.

(h) Theft or diversion notification.--If a cannabis business

establishment discovers evidence of, or upon completion of an

internal investigation reasonably suspects, a theft or diversion

of cannabis or cannabis products, the permittee shall notify

local law enforcement, the Pennsylvania State Police and the

authority. This notification shall occur no later than 24 hours

following completion of an investigation or discovery of

evidence reasonably confirming the theft or diversion.

Notification shall be made by phone, in person or by written or

electronic communication.

(i) Pesticides.--An adult-use cultivation center shall

comply with all Federal and State rules and regulations

regarding the use of pesticides on cannabis plants. The

authority shall promulgate reasonable regulations allowing

pesticide use in accordance with thresholds permitted in other

adult-use cannabis markets.

(j) Process.--An adult-use cultivation center may process

cannabis, cannabis concentrates and cannabis-infused edible and

nonedible products, including tinctures, topicals and edibles.

(k) Compliance.--An adult-use cultivation center shall

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comply with any other requirements or prohibitions specified by

regulations of the authority.

(l) Technology solutions.-- An adult-use cultivation center

may utilize sterilization methods and processes for cannabis

plants prior to compliance testing, subject to the following:

(1) The sterilization process shall happen after

harvesting plant material, but before testing;

(2) The adult-use cultivation center uses one of the

following sterilization methods, or as otherwise approved by

the authority:

(i) Radio frequency;

(ii) gas treatment, including ozone;

(iii) Photonic;

(iv) Irradiation;

(v) UV light.

(3) The adult-use cultivation center shall document

whether the harvest batch showed visual signs of

contamination.

(4) Sterilized material and products must pass

compliance testing.

(m) Location limitation.--An adult-use cultivation center

shall not be located in an area zoned for residential use.

§ 9159.10. Issuance of microcultivation center permits.

(a) Limitation.--An applicant may file no more than one

application for a microcultivation center permit in any single

application period.

(b) Issuance.--The authority may issue up to 10

microcultivation center permits. Following completion of a

comprehensive market analysis, the authority may adopt

regulations to modify or raise the number of microcultivation

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center permits or modify or change the permitting application

process to reduce or eliminate barriers for an applicant. In

determining whether to exercise the authority granted under this

subsection, the authority shall consider all the following

factors:

(1) The percentage of cannabis sales occurring in this

Commonwealth not in the regulated market.

(2) Whether there is an adequate supply of cannabis and

cannabis-infused edible and nonedible products to serve

patients under Chapter 93 (relating to medical use of

cannabis).

(3) Whether there is an adequate supply of cannabis and

cannabis-infused edible and nonedible products to serve

adult-use consumers.

(4) Whether there is an oversupply of cannabis in this

Commonwealth leading to trafficking of cannabis to states

where the sale of cannabis is not permitted by law.

(5) Population increases or shifts.

(6) The density of microcultivation centers in any area

of this Commonwealth.

(7) Perceived security risks of increasing the number or

location of microcultivation centers.

(8) The past safety record of microcultivation centers.

(9) The authority's capacity to appropriately regulate

additional permittees.

(10) Social and economic equity applicant participation.

(11) Any other criteria the authority deems relevant.

than 3,000 square feet of canopy space for plants in the

flowering stage for cultivation of cannabis as provided in this

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chapter. A microcultivation center may share a premises with a

dispensary if each permittee stores currency and cannabis and

cannabis-infused edible and nonedible products in a separate

secured vault to which any other permittee does not have access

or all permittees sharing a vault share more than 50% of the

same ownership.

§ 9159.11. Microcultivation center permit applications.

(a) Required information.--When applying for a permit, the

applicant for a microcultivation center permit shall

electronically include information in at least the following

categories as determined by the authority:

(1) The fees to be paid.

(2) A business plan that complies with the requirements

under this chapter.

(3) A security plan.

(4) An inventory control plan.

(5) A plan for community engagement.

(6) Written policies and procedures regarding

recordkeeping, inventory control, safety, security, diversion

and diversity.

(7) Facility plans, including floor plans, security

overlay and specifications of the building exterior and

interior layout.

(8) The physical address of the microcultivation

applicant's proposed facility, including the following, as

applicable:

(i) Evidence of the microcultivation applicant's

clear legal title to or option to purchase the proposed

facility.

(ii) A fully-executed copy of the microcultivation

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applicant's unexpired lease for the proposed facility

that includes the consent of the property owner for the

use of the proposed property and facility for the term of

the initial permit.

(iii) Other evidence satisfactory to the authority

that shows the microcultivation applicant has the

authority, or will have the authority prior to the date

of license issuance, to use the proposed property and

facility for the term of the permit.

(9) A copy of each relevant local zoning ordinance and

documentation, if necessary, of approval from the local

zoning office that the proposed microcultivation center

location is in compliance with each local zoning ordinance.

(10) Information regarding each principal officer.

(11) Evidence of the applicant's status as a social and

economic equity applicant, if applicable.

(12) An executed labor peace agreement between a bona

fide labor organization and the applicant. This agreement

shall be an ongoing material condition of an applicant being

issued a license.

(b) Submission.--An applicant under subsection (a) shall

submit all required information to the authority. Failure by an

applicant to submit all required information may result in the

application being disqualified.

§ 9159.12. Selection criteria for microcultivation center

permits.

(a) Incomplete application.--If the authority receives an

application under section 9159.11 (relating to microcultivation

center permit applications) that fails to provide the required

elements contained in a section, that section may not be scored.

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(b) Application scoring.--The authority shall, by rule,

develop a merit-based scoring system in which to award

microcultivation center permits.

center permit shall be awarded points on an application as

determined by the authority.

(d) Anonymity.--Applications for microcultivation center

permits shall be scored by the department anonymously in

accordance with regulations promulgated by the authority, which

shall include tie-breaker language that governs the process

through which some applicants are to be awarded permits when

multiple applicants receive the same application score and the

awarding of permits to all tied applicants would result in

awarding more permits than is permissible under this chapter. A

tie-breaking process shall be designed to ensure clarity,

transparency and fairness.

(e) Review.--Each application for a microcultivation center

permit shall be reviewed and scored by three individuals who

score each application independently. An applicant's score shall

be an average of the three scores awarded by each individual

score.

(f) Award of points.--Except in the case when an applicant

for a microcultivation center permit provides necessary

documentation of a status as a social and economic equity

applicant or an existing farming operation, the scoring system

developed by the authority shall be designed to ensure that the

applicant does not receive full points for only providing

responsive information on a section of the application.

§ 9159.13. Microcultivation center requirements and

prohibitions.

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(a) Operating documents.--The operating documents of a

microcultivation center shall include procedures for the

oversight of the microcultivation center, tracking cannabis,

including a physical inventory recorded weekly, accurate

recordkeeping and a staffing plan.

(b) Security plan.--A microcultivation center shall

implement a security plan that includes facility access

controls, perimeter intrusion detection systems, personnel

identification systems and a 24-hour surveillance system to

monitor the interior and exterior of the microcultivation center

that is accessible to authorized law enforcement and the

authority in real time.

cannabis by a microcultivation center shall take place in an

enclosed, locked facility at the physical address provided to

the authority during the permitting process. The

microcultivation center location shall only be accessed by the

cannabis business establishment agents working for the

microcultivation center, the authority staff performing

inspections, Commonwealth and local law enforcement or other

emergency personnel, contractors working on jobs unrelated to

cannabis, individuals in a mentoring or educational program

approved by the State or other individuals as provided by rule.

If a microcultivation center shares a premises with a

dispensary, agents from the other permittees may access the

microcultivation center portion of the premises if the location

point is a common area for access to bathrooms, lunchrooms,

locker rooms or other areas of the building where work or

cultivation of adult-use cannabis is not performed. At no time

may a dispensary agent perform work at a microcultivation center

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without being an employee of the microcultivation center.

(d) Sale and distribution limitation.--A microcultivation

center may not sell or distribute cannabis to any person other

than a dispensary permitted under this chapter or as otherwise

authorized by rule of the authority.

(e) Location limitation.--A microcultivation center shall

not be located in an area zoned for residential use.

(f) Price discrimination.--A microcultivation center may not

either directly or indirectly discriminate in price between

different dispensaries that are purchasing a like grade, strain,

brand and quality of adult-use cannabis or cannabis-infused

edible or nonedible product. Nothing in this subsection shall

prevent a microcultivation center from pricing adult-use

cannabis differently based on cannabinoid content, differences

in the cost of manufacturing, processing, quantities sold,

including volume discounts, or the method of product delivery.

(g) Data collection system.--All adult-use cannabis

harvested by a microcultivation center and intended for

distribution to a dispensary shall be entered into a data

collection system, packaged and labeled in compliance with this

chapter and any regulations promulgated by the authority and, if

the distribution is to a dispensary that does not share a

premises with the dispensary receiving the adult-use cannabis,

placed into a cannabis container for transport.

(h) Random inspection.--A microcultivation center shall be

subject to random inspections by the authority.

(i) Notification of loss or theft.--A microcultivation

center agent shall notify local law enforcement, the

Pennsylvania State Police and the authority within 24 hours of

the discovery of any loss or theft. A notification under this

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subsection shall be made by phone, in person or by written or

electronic communication.

(j) Pesticides.--A microcultivation center shall comply with

all Federal and State rules and regulations regarding the use of

pesticides in addition to any regulations promulgated by the

authority.

(k) Transportation.--A microcultivation center or cannabis

business establishment agent shall be permitted to transport

cannabis or cannabis-infused edible and nonedible products to

any other cannabis business establishment. A microcultivation

center may alternatively enter into a contract with a dispensary

or a testing laboratory related to the transport of cannabis.

(l) Compliance.--A microcultivation center shall comply with

any other requirements or prohibitions specified by regulations

of the authority.

§ 9159.14. Labor peace agreements.

(a) Condition of licensing.--

(1) Applicants applying for or holding a license to

grow, process, or dispense adult-use cannabis shall submit as

part of their application a labor peace agreement signed by a

bona fide labor organization and the applicant applicable to

all locations under the same license.

(2) A labor peace agreement shall be an ongoing material

condition of an applicant being issued a license and

maintaining the license.

(3) This subsection shall apply to all licenses issued

by the authority, including transfers and renewals.

(b) Failure to comply.--

(1) Failure to comply with the terms agreed to in the

labor peace agreement for the entire duration of the

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agreement shall result in fines, suspension, license or

renewal, denial or revocation of a license.

(2) The authority shall determine a schedule

establishing the ongoing review of the status and maintenance

of a labor peace agreement to assess the eligibility of a

license holder.

(3) Upon review and findings of unsatisfactory status or

the insufficient maintenance of a labor peace agreement, the

authority may issue a fine or other penalty to the license

holder.

(4) A determination by the Pennsylvania Labor Relations

Board, National Labor Relations board, or by an arbitrator as

provided in the labor peace agreement that an employer has

engaged in an unfair labor practice or has violated the terms

of the labor peace agreement shall result in immediate

suspension of the permit until the violation has been

rectified pursuant to an order of the board or arbitrator.

(5) Nothing in this section shall void the right of a

bona fide labor organization to pursue a complaint of unfair

labor practices in violation of Federal or State law with the

Pennsylvania Labor Relations Board or the National Labor

Relations Board.

(6) If a majority of the employees of a cannabis

business have voted to join a bona fide labor organization,

failure to enter into a collective bargaining agreement

within 200 days of the opening of such licensed cannabis

business, may result in a referral to the National Labor

Relations Board.

§ 9159.15. Agent identification cards.

(a) Required form.--The authority shall promulgate

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regulations detailing the form required for an initial

application or renewal application for an agent identification

card submitted under this chapter. The form shall include all of

the following:

(1) A nonrefundable fee to accompany the initial

application or renewal application.

(2) A fingerprinting and background check requirement.

(3) Means to submit the initial application or renewal

application via electronic means.

(b) Verification.--The authority shall verify the

information contained in an initial application or renewal

application for an agent identification card submitted under

this chapter and approve or deny the application within 14 days

of receiving the completed application and all supporting

documentation required by regulations of the authority.

establishment:

(1) shall print and issue an agent identification card

to a qualifying agent within 14 business days of approving

the initial application or renewal application; and

(2) may allow a cannabis business establishment agent to

work at a cannabis business establishment after the agent's

application has been approved but prior to issuance of the

agent identification card.

(d) Identification card.--An agent shall keep the agent

identification card under this section visible at all times when

on the property of the cannabis business establishment where the

agent is employed, unless the agent is working after being

approved as an agent by the authority but prior to the receipt

of the agent's identification card.

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(e) Identification card requirements.--The agent

identification card shall contain the following:

(1) The name of the cardholder.

(2) The date of issuance and expiration date of the

agent identification card.

(3) A random 10-digit alphanumeric identification number

containing at least four numbers and at least four letters

that is unique to the holder.

(4) A photograph of the cardholder.

§ 9159.16. Affiliations.

(a) Affiliation requirements.--

(1) A person that owns or obtains a controlling interest

of a cannabis business establishment, including an approved

laboratory, pursuant to a change in control transaction or

security of a cannabis business established pledged or

provided to a financial backer that is not already affiliated

as a principal shall be affiliated as a principal by the

authority as provided for in paragraphs (2) and (3).

(2) Within 10 days of the pledge or provision of any

securities of a cannabis business establishment to a

financial backer, a change in control transaction or receipt

of a controlling interest, subsequent to the adoption of this

subsection or immediately with respect to a pledge or

provision of any securities of a cannabis business

establishment to a financial backer, a change in control

transaction or receipt of a controlling interest before the

adoption of this subsection, the person that has obtained the

securities, pledged or provided securities of the cannabis

business establishment shall complete the affiliation of any

person required to be affiliated with the authority.

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(3) The authority shall, within 15 days of receipt of a

request to affiliate a person, affiliate the person of the

cannabis business establishment that is required to affiliate

as required by paragraph (2) or as otherwise provided for

under this paragraph.

(b) Limitations.--

(1) This section shall not be interpreted to require the

authority to examine, inspect or approve equity transactions.

(2) The authority may not deny an affiliation as

provided for in this part, unless the person does meet the

requirements provided for in sections 602 and 603 of the act

of April 17, 2016 (P.L.84, No.16), known as the Medical

Marijuana Act.

enforce subsection (a)(3) of this subchapter shall be brought in

the Commonwealth Court pursuant to its original jurisdiction

provided for in 42 Pa.C.S. § 761 (relating to original

jurisdiction.

§ 9159.17. Renewal of cannabis business establishment permits

and agent identification cards.

(a) Renewal.--A permit or agent identification card issued

under this chapter or Chapter 93 (relating to medical use of

cannabis) shall be renewed every four years. A cannabis business

establishment and agent shall receive written or electronic

notice no later than 90 days before the expiration of the permit

or card. The authority shall grant a renewal within 30 days of

submission of a renewal application if all of the following

apply:

(1) The cannabis business establishment submits the

required nonrefundable renewal fee.

20250HB0020PN2119 - 94 -

(2) The permit or agent identification card has not been

suspended or revoked for violating this chapter or

regulations adopted under this chapter.

(3) The cannabis business establishment has continued to

operate in accordance with all plans submitted as part of its

application and approved by the authority or any amendments

to a submitted plan that have been approved by the authority.

(4) The cannabis business establishment has submitted an

agent, employee, contracting and subcontracting diversity

report as required by the authority.

(5) The cannabis business establishment has maintained a

labor peace agreement with a bona fide labor organization

that is actively engaged in representing the permittee ' s

employees. Failure to maintain a labor peace agreement for

the entire duration of the license may result in fines or

other penalties issued by the authority.

(6) The cannabis business establishment is in compliance

with all Federal, State and local occupational health and

safety requirements. A cannabis business establishment with

outstanding fines or compliance orders from the Occupation

Safety and Health Administration shall be deemed noncompliant

for the purpose of this section.

(b) Renewal fees.--

(1) For a dual-use grower/processor:

(i) A renewal fee in the amount of $10,000 shall be

paid and shall include renewal for all locations.

(ii) The renewal fee shall be returned if the

renewal is not granted.

(2) For a dual-use dispensary:

(i) A renewal fee in the amount of $5,000 shall be

20250HB0020PN2119 - 95 -

paid.

(ii) The fee shall be returned if the renewal is not

granted and shall include renewal for all locations.

(3) For an adult-use cultivation center:

(i) A renewal fee, to be determined by the

authority, shall be paid.

(ii) The fee shall be returned if the renewal is not

granted and shall include renewal for all locations.

(4) For a microcultivation:

(i) A renewal fee, to be determined by the

authority, shall be paid.

(ii) The fee shall be returned if the renewal is not

granted and shall cover renewal for all locations.

(5) For a grower/processor permit that does not maintain

adult-use operations:

(i) A renewal fee in the amount of $10,000 shall be

paid and shall cover renewal for all locations.

(ii) The renewal fee shall be returned if the

renewal is not granted.

(6) For a dispensary that does not maintain adult-use

operations:

(i) A renewal fee in the amount of $5,000 shall be

paid.

(ii) All fees shall be paid by certified check,

money order, electronic transfer or credit card.

(iii) The fee shall be returned if the renewal is

not granted and shall include renewal for all locations.

its review of a permittee's renewal application, and the renewal

application was submitted as required in this subchapter, the

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permittee's permit shall remain active and in good standing

until the authority completes the review and issues a renewed

permit or denial.

(d) Failure to renew license.--If a cannabis business

establishment fails to renew the establishment's permit prior to

license expiration, the establishment shall cease operations

until the permit is renewed, unless otherwise permitted by the

authority.

(e) Failure to renew identification card.--If a cannabis

business establishment or cannabis business establishment agent

fails to renew a cannabis business establishment permit or the

agent identification card prior to expiration, the cannabis

business establishment or cannabis business establishment agent

shall cease to operate as a cannabis business establishment or

work as an agent of a cannabis business establishment, as

applicable, until the cannabis business establishment permit or

agent identification card is renewed, unless otherwise permitted

by the authority.

(f) Disciplinary action and fines.--A cannabis business

establishment that continues to operate or any cannabis business

establishment agent who continues to work as an agent, after the

applicable permit or agent identification card has expired

without renewal, absent authority permission, shall be subject

to disciplinary action by the authority.

(g) Collection of fees and fines.--All fees or fines

collected from the renewal of a cannabis business establishment

permit or agent identification card shall be deposited into the

Cannabis Regulation Fund.

§ 9159.18. Relocation.

The authority may approve an application from a cannabis

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business establishment, under this chapter or Chapter 93

(relating to medical use of cannabis), to relocate within this

Commonwealth or to add or delete activities or facilities.

§ 9159.19. Warehousing and distribution permits.

(a) Issuance.--The authority shall issue warehousing and

distribution permits, which authorize the storage, inventory

management and transportation of cannabis and cannabis products

between cannabis business establishments, to eligible

applicants.

(b) Scope of permit.--A permit issued under this section

shall authorize a permittee to:

(1) Store cannabis and cannabis products in secure,

compliant facilities.

(2) Manage inventory, including tracking and reporting,

as required by the board.

(3) Transport cannabis and cannabis products between

cultivators, manufacturers, retailers and other authorized

entities within this Commonwealth.

(1) A one-time, nonrefundable application fee of $2,500

shall be payable to the authority upon submission of the

initial application for a permit.

(2) An annual renewal fee of $5,000 shall be payable to

the authority for a permit.

(d) Residency requirement.--Ownership of at least 51% of an

entity, including corporate stock of a corporation, control over

the management and day-to-day operations of the business and an

interest in the capital, assets, profits and losses of the

business proportionate to the percentage of ownership, applying

for a permit must be held by individuals who have been residents

20250HB0020PN2119 - 98 -

of this Commonwealth for at least two consecutive years

immediately prior to the application date.

(e) Restriction on other permits.--The holder of a permit,

including its owners, principals and operators, may not hold a

grower-processor permit or cultivation center permit.

(f) Employee background checks.--

(1) All employees of a permittee shall undergo a

criminal history background check conducted by the

Pennsylvania State Police prior to employment.

(2) A permittee shall submit employee background check

results to the authority upon request and maintain records

for inspection.

(g) Regulatory oversight.--The authority shall establish and

enforce rules governing the permitting, operation and compliance

of warehousing and distribution facilities, including:

(1) Security protocols for storage and transportation.

(2) Inventory tracking and reporting requirements.

(3) Compliance with health and safety standards.

(h) Inspections.--The authority, or a designee, may conduct

regular and unannounced inspections of permitted facilities to

ensure compliance.

(i) Penalties.--A violation of this section may result in

fines or permit suspension or revocation, as determined by the

authority.

(j) Definitions.--As used in this section, the following

words and phrases shall have the meanings given to them in this

subsection unless the context clearly indicates otherwise:

"Permit." A permit issued under subsection (a).

"Permittee." The holder of a permit.

SUBCHAPTER G

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ENFORCEMENT AND IMMUNITIES

Sec.

9161. Permit discipline.

9162. Immunities and presumptions relating to handling of

cannabis by cannabis business establishments and

agents.

9163. Commonwealth standards and requirements.

9164. Violation of tax acts and refusal, revocation or

suspension of permit or agent identification card.

§ 9161. Permit discipline.

(a) Authority actions.--Notwithstanding any other civil or

criminal penalties related to the unlawful possession of adult-

use cannabis, the authority may take disciplinary or

nondisciplinary action as the authority deems proper with regard

to a cannabis business establishment or cannabis business

establishment agent, including fines not to exceed $5,000 for

each violation of this chapter or regulations promulgated by the

authority.

(b) Determination.--The authority shall consider permittee

cooperation in any investigation in its determination of

penalties imposed under this section. The procedures for

disciplining a cannabis business establishment or cannabis

business establishment agent and for administrative hearings

shall be determined by regulation of the authority and shall

provide for the review of final decisions under 2 Pa.C.S.

(relating to administrative law and procedure).

§ 9162. Immunities and presumptions relating to handling of

cannabis by cannabis business establishments and

agents.

(a) Immunities and presumptions.--A cannabis business

20250HB0020PN2119 - 100 -

establishment or an agent shall not be subject to the following

based solely on conduct that is lawful under this chapter or any

regulations promulgated under this chapter:

(1) Prosecution.

(2) Search or inspection, except by the authority or

under the authority of the authority or a State or local law

enforcement agency under this chapter.

(3) Seizure.

(4) Denial of any right or privilege.

(5) Penalty in any manner, or denial of any right or

privilege, including civil penalty or disciplinary action by

a business permitting or licensing board or entity for

working for a cannabis business establishment under this

chapter and regulations adopted under this chapter.

(b) Prohibition.--Any cannabis, cannabis-infused edible or

nonedible product, cannabis paraphernalia, legal property or

interest in legal property that is possessed, owned or used in

connection with the use of cannabis as permitted under this

chapter, or acts incidental to that use, may not be seized or

forfeited. Nothing in this chapter shall be construed to prevent

the seizure or forfeiture of cannabis exceeding the amounts

permitted under this chapter or prevent seizure or forfeiture if

the basis for the action is unrelated to the cannabis that is

possessed, manufactured, transferred or used under this chapter.

shall be construed to preclude State or local law enforcement

from searching an adult-use cultivation center, microcultivation

center or dispensary if there is probable cause to believe that

the laws of this Commonwealth have been violated and the search

is conducted in conformance with law.

20250HB0020PN2119 - 101 -

(d) Attorney General investigation.--Nothing in this chapter

shall be construed to preclude the Attorney General or other

authorized government agency from investigating or bringing a

civil action against a cannabis business establishment or a

cannabis business establishment agent for a violation of

Commonwealth law, including civil rights violations and

violations of the act of December 17, 1968 (P.L.1224, No.387),

known as the Unfair Trade Practices and Consumer Protection Law.

§ 9163. Commonwealth standards and requirements.

Any standards, requirements and regulations regarding the

health and safety, environmental protection, testing, security,

food safety and worker protections established by the

Commonwealth shall be the minimum standards for all permittees

under this chapter, where applicable. Knowing violations of any

Commonwealth or local law, ordinance or regulation conferring

worker protections or legal rights on the employees of a

permittee may be grounds for disciplinary action in addition to

applicable penalties under this chapter.

§ 9164. Violation of tax acts and refusal, revocation or

suspension of permit or agent identification card.

(a) General rule.--In addition to other grounds specified in

this chapter, the authority, upon notification by the Department

of Revenue, may not issue or renew a permit or agent

identification card or suspend or revoke the permit or agent

identification card of any person for any of the following:

(1) Failure to file a tax return.

(2) The filing of a fraudulent tax return.

(3) Failure to pay all or part of any tax or penalty

determined to be due.

(4) Failure to keep books and records in accordance with

20250HB0020PN2119 - 102 -

this chapter or the regulations promulgated by the authority.

(5) Failure to secure and display a certificate or

related permit document, if required.

(6) The willful violation of any rule or regulation of

the Department of Revenue relating to the administration and

enforcement of tax liability.

(b) Resolution.--The Department of Revenue, after a

violation under subsection (a) has been corrected or resolved,

shall, upon request of the subject of the violation, notify the

authority that the violation has been corrected or resolved.

Upon receiving notice from the Department of Revenue that a

violation under subsection (a) has been corrected or otherwise

resolved, the authority may issue or renew the permit or agent

identification card or vacate an order of suspension or

revocation.

SUBCHAPTER H

LABORATORY TESTING

Sec.

9171. Laboratory testing requirements and prohibitions.

§ 9171. Laboratory testing requirements and prohibitions.

(a) Legality.--Notwithstanding any other provision of law,

the following actions, when performed by a cannabis testing

facility with a current, valid registration or an individual 21

years of age or older who is acting in an official capacity as

an owner, employee or agent of a cannabis testing facility, may

not be determined to be unlawful and may not be an offense or be

a basis for seizure or forfeiture of assets under the laws of

this Commonwealth:

(1) Possessing, repackaging, transporting or storing

cannabis or cannabis-infused edible or nonedible products.

20250HB0020PN2119 - 103 -

(2) Receiving or transporting cannabis or cannabis-

infused edible or nonedible products from a cannabis business

establishment.

(3) Returning or transporting cannabis or cannabis-

infused edible or nonedible products to a cannabis business

establishment.

(b) Prohibition.--A laboratory at a cannabis testing

facility may not handle, test or analyze adult-use cannabis

unless approved by the authority in accordance with this

section. A laboratory at a cannabis testing facility may not be

approved to handle, test or analyze cannabis unless the

laboratory:

(1) Is accredited by a private laboratory accrediting

organization.

(2) Does not have a direct or indirect financial,

management or other interest in an adult-use cultivation

center, microcultivation center, dispensary or medical

cannabis grower/processor in this Commonwealth or is

affiliated with a certifying physician under Chapter 93

(relating to medical use of cannabis).

(3) Has employed at least one individual to oversee and

be responsible for the laboratory testing who has earned,

from a college or university accredited by a national or

regional certifying authority, at least one of the following:

(i) A master's level degree in chemical or

biological sciences and a minimum of two years'

postgraduate laboratory experience.

(ii) A bachelor's degree in chemical or biological

sciences and a minimum of four years' postgraduate

laboratory experience.

20250HB0020PN2119 - 104 -

(4) Provides the authority with a copy of the most

recent annual inspection report granting accreditation and

every annual report thereafter.

(1) Immediately prior to selling any cannabis or

cannabis-infused edible or nonedible product or packaging

cannabis for sale to a dispensary, each batch shall be made

available by the adult-use cultivation center or

microcultivation center for an employee of an approved

laboratory at a cannabis testing facility to select a random

sample, which shall be tested by the approved laboratory for:

(i) Microbiological contaminants.

(ii) Mycotoxins.

(iii) Pesticide active ingredients.

(iv) Heavy metals.

(v) Residual solvent.

(vi) An active ingredient analysis.

(vii) THC potency.

(2) The authority shall only require cannabis or

cannabis-infused edible and nonedible products to be tested

one time in its final form before the cannabis or cannabis-

infused edible and nonedible products can be sold to a

dispensary for sale to adult-use consumers.

(d) Standard operating procedures.--

(1) An approved laboratory shall maintain written

standard operating procedures for each of the following:

(i) Confirmation of the validity of results of

testing.

(ii) Quality control.

(iii) All sampling and testing procedures, including

20250HB0020PN2119 - 105 -

required safety tests.

(iv) Any other operation as determined by the

authority.

(2) A laboratory applying for approval as a testing

laboratory shall submit its standard operating procedures to

the authority as part of the laboratory ' s application.

(3) An approved testing laboratory shall submit its

standard operating procedures to the authority at the

following time periods:

(i) for laboratories approved prior to the effective

date of this paragraph, within 30 days of the effective

date of this paragraph;

(ii) at each renewal of approval; and

(iii) with 30 days of a substantial change to the

standard operating procedures.

(4) The authority shall enter and conduct a reasonable

inspection of an approved testing laboratory to ensure

adherence to the standard operating procedures at least

annually. The following shall apply:

(i) If the inspection results in the authority

identifying gaps in the standard operating procedure, the

authority shall submit its findings to the approved

testing laboratory. The laboratory shall have 30 days to

respond to the findings and submit a corrective action

plan to the authority.

(ii) Failure to adhere to corrective actions within

a reasonable time shall constitute a violation of this

act and may result in penalties. Nothing shall limit the

authority ' s ability to suspend or revoke an approval

issued to a laboratory as prescribed in 28 Pa. Code Ch.

20250HB0020PN2119 - 106 -

1171a (relating to laboratories).

(5) The authority may engage with an independent

accreditation body to fulfill the requirements under this

subchapter.

(e) Validity of testing results.--

(1) The authority, in coordination with the Bureau of

Laboratories, shall ensure that approved testing

laboratories ' results are valid no less than once a year

beginning on January 1 immediately following the effective

date of this paragraph. The following apply:

(i) The authority shall require approved testing

laboratories to participate in an established method used

to determine validity of results.

(ii) The authority may engage an accredited

proficiency testing provider to fulfill subparagraph (i).

(iii) Nothing in this subsection shall be

interpreted as prohibiting the authority from ensuring

validity of results more than once within a calendar

year.

(iv) A test issued by an accredited proficiency

testing provider as required solely to maintain

accreditation shall not fulfill the requirements of this

subparagraph.

(2) If the results from an approved testing laboratory

are found to be invalid, the following actions shall be taken

by the authority:

(i) A review of the approved testing laboratory ' s

standard operating procedures.

(ii) Additional testing, as needed, to understand

the cause for the anomalies and unanticipated errors.

20250HB0020PN2119 - 107 -

(iii) The authority may enter the approved testing

laboratory for further investigation and shall issue its

findings. The authority may engage with an independent

accreditation body to fulfill the requirements under this

subparagraph.

(3) Failure to participate or failure to adhere to

corrective actions shall constitute a violation of this part

and may result in penalties. Nothing in this subsection shall

be interrupted as limiting the authority ' s ability to suspend

or revoke an approval issued to a laboratory as prescribed in

28 Pa. Code Ch. 1171a.

(f) Trend analysis.--The authority may utilize the seed-to-

sale tracking system to conduct trend analysis for laboratory

oversight.

(g) Accreditation.--The authority shall determine the scope

of accreditation an approved laboratory must receive and

maintain. The authority shall provide an approved laboratory

reasonable time to receive any additional accreditation beyond

the laboratory ' s most recent certificate of accreditation.

(h) State testing laboratory.--The authority may establish

and maintain a State testing laboratory. A State testing

laboratory under this subsection shall be responsible for:

(1) Developing and maintaining a cannabis laboratory

reference library that contains testing methodologies in the

areas of:

(i) Potency.

(ii) Homogeneity.

(iii) Detection of contaminants and the quantity of

those contaminants.

(iv) Solvents.

20250HB0020PN2119 - 108 -

(2) Establishing standard operating procedures for

sample collection, preparation and analysis of cannabis by

approved testing laboratories.

(3) Conducting proficiency testing of approved testing

laboratories.

(4) Remediating of problems with approved testing

laboratories.

(5) Conducting compliance testing on cannabis samples

analyzed by approved testing laboratories.

(h.1) Materials.--Approved testing laboratories shall

provide materials to the State testing laboratory reference

library.

(i) Authority sample.--The authority may select a random

sample that shall, for the purposes of conducting an active

ingredient analysis, be tested by a laboratory chosen by the

authority for verification of label information.

(j) Disposal of sample.--A laboratory at a cannabis testing

facility shall immediately return or dispose of any cannabis

upon the completion of any testing, use or research. Any

cannabis that is disposed of shall be done in accordance with

the authority's regulations related to cannabis waste.

(k) Sample failure.--If a sample of cannabis does not pass

testing under subsection (c) based on the standards established

by the authority, the following shall apply:

(1) The sample may be retested, with or without

remediation, up to two additional times after a failed test.

(2) After a third failed test, including the initial

failed test, or at the choosing of the cannabis business

establishment, the batch may be used to make a CO2-based or

solvent-based extract. After processing, the CO2-based or

20250HB0020PN2119 - 109 -

solvent-based extract shall still pass all required tests.

(3) Seeds, immature cannabis plants, cannabis plants,

cannabis flowers or cannabis-infused edible or nonedible

products may be remediated at any time prior to cannabis or

cannabis-infused edible or nonedible products being provided

to dispensaries for sale to adult-use consumers under this

chapter, including after any failed test performed by an

independent laboratory under subsection (c) based on the

standards established by the authority, if the cannabis or

cannabis-infused edible or nonedible products being provided

to dispensaries ultimately passes laboratory testing under

subsection (c) based on the standards established by the

authority.

(l) Authority testing standards.--The authority shall

establish standards for contamination under subsection (c) and

shall develop labeling requirements for contents and potency.

The authority shall ensure standards under this subsection are

comparable to those set by other established adult-use cannabis

markets and shall publicly disclose the basis for any standards

set.

(m) Copy of test results.--A laboratory at a cannabis

testing facility shall file with the authority an electronic

copy of each laboratory test result for any batch that does not

pass testing under subsection (c) at the same time that it

transmits those results to the adult-use cultivation center or

microcultivation center. The testing laboratory shall maintain

the laboratory test results for at least five years and make

test results available at the authority's request for the same

period.

(n) Results.--An adult-use cultivation center or

20250HB0020PN2119 - 110 -

microcultivation center shall provide to a dispensary the

laboratory test results for each batch of cannabis-infused

edible or nonedible product purchased by the dispensary, if

sampled. Each dispensary shall have those laboratory results

available upon request to adult-use consumers.

(o) Additional regulations permitted.--The authority shall

promulgate regulations relating to testing in furtherance of and

consistent with this chapter.

(p) Location limitation.--A testing laboratory shall not be

located in an area zoned for residential use.

SUBCHAPTER I

ADVERTISING, MARKETING, PACKAGING AND LABELING

Sec.

9181. Advertising and promotions.

9182. Cannabis-infused edible and nonedible product packaging

and labeling.

§ 9181. Advertising and promotions.

(a) Authorization.--A cannabis business establishment may

advertise and market adult-use cannabis and cannabis-infused

edible and nonedible products, including through discounts and

promotional programs. A cannabis business establishment shall

not engage in advertising or marketing contains any statement or

image that:

(1) is false or misleading;

(2) promotes over-consumption of cannabis or cannabis-

infused edible and nonedible products;

(3) depicts a person under 21 years of age consuming

cannabis;

(4) makes any unsupported health claims about cannabis,

cannabis-infused edible or nonedible products or cannabis

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concentrates;

(5) includes any image designed or likely to appeal to a

minor; or

(6) is in the form of a billboard that is placed, or

caused to be placed, within 500 feet of a building occupied

exclusively as a public, private or parochial school or day-

care center.

(a.1) Disclaimer.--Health claims made by a cannabis business

establishment must be accompanied by a disclaimer or other

qualifying language to accurately communicate to consumers the

level of scientific evidence supporting the claim.

(b) Definition.--For purposes of this section, the term

"qualified health claim" means a claim supported by scientific

evidence, which does not meet the more rigorous significant

scientific agreement standard required for an authorized health

claim.

§ 9182. Cannabis-infused edible and nonedible product packaging

and labeling.

(a) Registration.--Each cannabis-infused edible and

nonedible product produced for sale shall be registered with the

authority in a form and manner provided by the authority. A

product produced in accordance with this chapter may not require

authority approval prior to being produced for sale. Each

product registration shall include a label containing all

information required by the authority.

(b) Packaging.--Cannabis-infused edible and nonedible

products intended for distribution to a dispensary for sale to

adult-use consumers shall be packaged in a sealed or child-

resistant container or package and labeled in a manner

consistent with current standards, including the Consumer

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Product Safety Commission standards referenced under 15 U.S.C.

Ch. 39A (relating to special packaging of household substances

for protection of children).

packaging.--Each cannabis-infused edible and nonedible product

shall be wrapped or packaged at the original point of

preparation.

(d) Cannabis-infused edible and nonedible product

labeling.--Each cannabis-infused edible and nonedible product

shall be labeled prior to sale. Each label shall be securely

affixed to the package and shall state in legible font all of

the following:

(1) The common or usual name of the item and the

registered name of the cannabis-infused edible and nonedible

product that was registered with the authority under

subsection (a).

(2) A unique serial number that matches the product with

an adult-use cultivation center or microcultivation center

batch and lot number to facilitate any warnings or recalls

the authority or adult-use cultivation center or

microcultivation center deems appropriate.

(3) The date of final testing and packaging.

(4) The identification of the independent cannabis

testing facility.

(5) The date of harvest for cannabis flower or the date

of manufacture for other forms of cannabis.

(6) A "use by" date.

(7) The quantity, in ounces or grams, of cannabis

contained in the product.

(8) A content list, including:

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(i) The minimum and maximum percentage content by

weight for:

(A) delta-9-tetrahydrocannabinol (THC);

(B) tetrahydrocannabinolic acid (THCA);

(D) cannabidiolic acid (CBDA); and

(E) all other ingredients of the item, including

any colors, artificial flavors and preservatives

listed in descending order by predominance of weight

shown with common or usual names.

(ii) (Reserved).

(9) The acceptable tolerances for the minimum percentage

shall not be below 85% or above 115% of the labeled amount.

(e) Prohibition.--Cannabis product packaging may not contain

information that:

(1) Is false or misleading.

(2) Promotes excessive consumption.

(3) Depicts a person under 21 years of age consuming

cannabis.

(4) Includes any image designed or likely to appeal to a

minor.

(f) Additional requirements.--The following shall apply to a

cannabis-infused edible and nonedible product produced by

concentrating or extracting ingredients from the cannabis plant:

(1) If solvents were used to create the concentrate or

extract, a statement that discloses the type of extraction

method, including any solvents or gases used to create the

concentrate or extract.

(2) Disclosure of any chemicals or compounds used to

produce or added to the concentrate or extract.

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(3) Cannabis concentrates sold with greater than 70% THC

shall indicate the product is a high-THC product on the

product label.

(g) Product warning.--All cannabis, cannabis-infused edible

and nonedible products and cannabis concentrates shall contain a

warning on its label stating:

Cannabis consumption may impair the ability to drive or

operate heavy machinery, is for adult use only and should not

be used by pregnant or breastfeeding women. Keep out of reach

of children.

(h) Servings.--

(1) Each cannabis-infused edible or nonedible product

intended for consumption shall include on the packaging the

total milligram content of THC and CBD. Each package may not

include more than a total of 500 milligrams of THC per

package with respect to cannabis-infused edible and nonedible

products intended for adult-use consumers. A package may

contain multiple servings. A cannabis-infused edible and

nonedible product that consists of more than a single serving

shall be marked, stamped or otherwise imprinted, by

individual single serving, with a symbol or easily

recognizable mark approved by the authority indicating the

package contains cannabis and shall be either:

(i) scored or delineated to indicate one serving, if

the cannabis-infused edible or nonedible product is in

solid form; or

(ii) if the cannabis-infused edible or nonedible

product is not in solid form, packaged in a manner so

that a single serving is readily identifiable or easily

measurable.

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(2) As used in this subsection, the term "delineated"

includes directly marking the product to indicate one serving

or providing a means by which adult-use consumers can

accurately identify one serving.

(i) Delineation.--A cannabis-infused edible or nonedible

product consisting of multiple servings shall be homogenized so

that each serving contains the same concentration of THC.

(j) Alternation or destruction of packaging.--No individual

other than the adult-use consumer shall alter or destroy any

labeling affixed to the primary packaging of cannabis-infused

edible or nonedible products after the cannabis-infused edible

or nonedible products have been dispensed.

SUBCHAPTER J

PREPARATION, DESTRUCTION AND REGULATION OF CANNABIS AND

CANNABIS-INFUSED EDIBLE AND NONEDIBLE PRODUCTS.

Sec.

9191. Preparation of cannabis-infused edible and nonedible

products.

9192. Destruction of cannabis.

9193. Local ordinances.

9194. Confidentiality.

9195. Financial institutions.

9196. Contracts enforceable.

9197. Administrative rulemaking.

§ 9191. Preparation of cannabis-infused edible and nonedible

products.

(a) Regulation.--The authority may regulate the production

of cannabis-infused edible and nonedible products by an adult-

use cultivation center or a microcultivation center and

establish regulations related to refrigeration, hot-holding and

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handling of cannabis-infused edible and nonedible products. All

cannabis-infused edible and nonedible products shall meet the

packaging and labeling requirements specified under this chapter

and any regulation promulgated by the authority.

(b) Approval.--Cannabis-infused edible and nonedible

products for sale or distribution at a dispensary shall be

prepared by an approved agent of an adult-use cultivation center

or microcultivation center. A dispensary may not manufacture,

process or produce a cannabis-infused edible and nonedible

product.

(d) Enforcement.--The authority shall promulgate regulations

for the manufacture and processing of cannabis-infused edible

and nonedible products and may at all times enter every

building, room, basement, enclosure or premises occupied or

used, or suspected of being occupied or used, for the

production, preparation, manufacture for sale, storage,

processing, distribution or transportation of cannabis-infused

edible and nonedible products. The authority may inspect the

premises together with all utensils, fixtures, furniture and

machinery used for the preparation of products under this

section.

§ 9192. Destruction of cannabis.

(a) Destruction.--All cannabis byproduct, scrap and

harvested cannabis not intended for distribution to a dispensary

shall be destroyed and disposed of under regulations adopted by

the authority under this chapter. Documentation of the

destruction and disposal shall be retained at the adult-use

cultivation center, microcultivation center or cannabis testing

facility as applicable for a period of not less than two years.

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(b) Notification prior to destruction.--The adult-use

cultivation center, microcultivation center or dispensary shall

keep a record of the date and quantity of destruction.

cannabis, including cannabis-infused edible and nonedible

products, not sold to adult-use consumers by the stated date of

expiration. Documentation of destruction and disposal shall be

retained at the dispensary for a period of not less than two

years.

§ 9193. Local ordinances.

(a) Zoning ordinances.--Unless otherwise provided by this

chapter or law:

(1) A municipality may enact reasonable zoning

ordinances not in conflict with this chapter or rules adopted

under this chapter regulating a cannabis business

establishment. A municipality may not unreasonably prohibit

the use of cannabis authorized by this chapter.

(2) A municipality may enact ordinances not in conflict

with this chapter or with rules adopted under this chapter

governing the time, place, manner and number of cannabis

business establishment operations, including minimum distance

limitations between cannabis business establishments and

locations it deems sensitive. A municipality may establish

civil penalties for violation of an ordinance or rules

governing the time, place and manner of operation of a

cannabis business establishment in the jurisdiction of the

unit of local government. A municipality may not unreasonably

restrict the time, place, manner and number of cannabis

business establishment operations authorized by this chapter.

(3) A municipality may authorize or permit the on-

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premises consumption of cannabis at or in an adult-use

dispensary within its jurisdiction in a manner consistent

with this chapter. An adult-use dispensary authorized or

permitted by a unit of local government to allow on-site

consumption shall not be deemed a public place under the act

of June 13, 2008 (P.L.182, No.27), known as the Clean Indoor

Air Act.

(4) A municipality may not regulate the activities

described in paragraph (1), (2) or (3) in a manner more

restrictive than the regulation of those activities by the

Commonwealth under this chapter.

(5) A municipality may not enact ordinances to prohibit

a cannabis business establishment from locating within the

unit of local government.

(6) A municipality may not prohibit or condition the

sale of cannabis for adult use at a medical cannabis

dispensary authorized to sell cannabis for adult use under

section 9153 (relating to authorization of current medical

cannabis to commence dispensing cannabis for adult use).

(b) Municipal zoning and land use requirements.--

(1) A grower/processor shall meet the same municipal

zoning and land use requirements as other manufacturing,

processing and production facilities that are located in the

same zoning district.

(2) A dispensary shall meet the same municipal zoning

and land use requirements as other commercial facilities that

are located in the same zoning district.

§ 9194. Confidentiality.

(a) Disclosure.--Information provided by cannabis business

establishment permittees or applicants to the authority, the

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Office of Social Equity, the Pennsylvania State Police or other

agency shall be limited to information necessary for the

purposes of administering this chapter. The information shall be

subject to the provisions and limitations contained in the act

of February 14, 2008 (P.L.6, No.3), known as the Right-to-Know

Law.

(b) Privacy.--The information received and records kept by

the authority, the Office of Social Equity and the Pennsylvania

State Police for purposes of administering this chapter shall be

subject to all applicable Federal privacy laws and shall be

confidential and exempt from disclosure under 5 U.S.C. § 552

(relating to public information; agency rules, opinions, orders,

records, and proceedings), except as provided under this

chapter. The information received and records kept by the

authority, the Office of Social Equity and the Pennsylvania

State Police for purposes of administering this chapter shall

not be subject to disclosure to an individual or a public or

private entity, except to the authority, the Office of Social

Equity, the Pennsylvania State Police and the Attorney General

as necessary to perform official duties under this chapter.

holding each cannabis business establishment permit shall be

subject to disclosure under the Right-to-Know Law.

(d) Authority information.--All information collected by the

authority in the course of an examination, inspection or

investigation of a permittee or applicant, including any

complaint against a permittee or applicant filed with the

authority and information collected to investigate any

complaint, shall be maintained for the confidential use of the

authority and shall not be disclosed, except as otherwise

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provided under this chapter. A formal complaint against a

permittee by the authority or any disciplinary order issued by

the authority against a permittee or applicant shall be public

record, except as otherwise provided by law. Complaints from

consumers or members of the general public received regarding a

specific, named permittee or complaints regarding conduct by

entities without permits shall be subject to disclosure under

the Right-to-Know Law.

§ 9195. Financial institutions.

(a) Exemption.--A financial institution that provides

financial services customarily provided by financial

institutions to a cannabis business establishment authorized

under this chapter or to a person that is affiliated with a

cannabis business establishment shall be exempt from any

criminal law of the Commonwealth as it relates to cannabis-

related conduct authorized under State law.

(b) Confidentiality.--Information received by a financial

institution from a cannabis business establishment shall be

confidential. Except as otherwise required or permitted by

Federal or State law or regulation, a financial institution may

not make the information available to any person other than:

(1) The adult-use consumer to whom the information

applies.

(2) A trustee, conservator, guardian, personal

representative or agent of the adult-use consumer to whom the

information applies.

(3) A Federal or State regulator when requested in

connection with an examination of the financial institution

or if otherwise necessary for complying with Federal or State

law.

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(4) A Federal or State regulator when requested in

connection with an examination of the financial institution

or if otherwise necessary for complying with Federal or State

law.

(5) A third party performing service for the financial

institution if the third party is performing services under a

written agreement that expressly or by operation of law

prohibits the third party's sharing and use of confidential

information for any purpose other than as provided in its

agreement to provide services to the financial institution.

§ 9196. Contracts enforceable.

Contracts related to the operation of a cannabis business

establishment under this chapter shall be enforceable. A

contract entered into by a cannabis business establishment or

its agents on behalf of a cannabis business establishment, or by

those who allow property to be used by a cannabis business

establishment, may not be considered unenforceable on the basis

that cultivating, obtaining, manufacturing, processing,

distributing, dispensing, transporting, selling, possessing or

using cannabis is prohibited by Federal law.

§ 9197. Administrative rulemaking.

No later than 180 days after the promulgation of temporary

regulations, the authority and each Commonwealth agency or

authority with regulatory responsibility under this chapter

shall promulgate regulations in accordance with the duties

required under this chapter. The failure by a Commonwealth

agency or authority with regulatory responsibility under this

chapter to promulgate regulations within 180 days of the

promulgation of temporary regulations shall not delay or

otherwise impede a cannabis business establishment from

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commencing operations in accordance with this chapter.

SUBCHAPTER K

TAXES

Sec.

9199.1. Imposition of sales tax and excise tax.

9199.2. Cannabis Regulation Fund and distribution of revenue.

9199.3. Tax deduction for eligible cannabis business

establishments.

§ 9199.1. Imposition of sales tax and excise tax.

(a) Rate of sales tax.--A sales tax is imposed at the rate

of 8% of the sales price for cannabis and cannabis-infused

edible and nonedible products sold or otherwise transferred to

any person other than a cannabis business establishment.

(b) Deposit of sales tax.--Sales tax revenue under

subsection (a) shall be deposited into the Cannabis Regulation

Fund.

taxes, an excise tax is imposed on each dispensary at the rate

of 5% of the sales price for cannabis sold for adult use or

otherwise transferred to any person other than a cannabis

business establishment. Except as otherwise provided by

regulation, a product subject to the tax imposed under this

subsection may not be bundled in a single transaction with a

product or service that is not subject to the tax imposed under

this subsection.

(d) Deposit of excise tax.--Excise tax revenue under

subsection (c) shall be deposited into the Cannabis Regulation

Fund.

§ 9199.2. Cannabis Regulation Fund and distribution of revenue.

(a) Establishment.--The Cannabis Regulation Fund is

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established in the State Treasury. Money in the fund is

appropriated as specified under subsection (d). Any amount

unspent at the end of a fiscal year shall be transferred to the

General Fund if there has been an appropriation from the General

Fund for the operations of the authority.

(b) Deposit.--Fees and taxes payable to the Cannabis

Regulation Fund under this chapter shall be deposited in the

Cannabis Regulation Fund, other than tax revenue disbursed to

municipalities and counties specified under subsection (f). The

money deposited into the Cannabis Regulation Fund may only be

used for the purposes specified under this section. Any interest

accrued shall be deposited into the Cannabis Regulation Fund.

days, after the effective date of this subsection, the State

Treasurer shall transfer twenty percent of the total balance of

the Medical Marijuana Program Fund into the Cannabis Regulation

Fund.

(d) Allocation.--Money in the Cannabis Regulation Fund shall

be allocated in accordance with the following:

(1) Two percent of gross receipts of the revenue in the

Cannabis Regulation Fund is appropriated to the authority as

necessary for actual costs and expenses, including staffing

expenses and expenses related to administering and enforcing

this chapter.

(2) The remainder of the money in the Cannabis

Regulation Fund is transferred to the General Fund to provide

economic relief to this Commonwealth.

(e) Administration.--The Department of Revenue shall

administer the taxes imposed under this chapter and may

promulgate regulations that prescribe a method and manner for

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payment of the tax to ensure proper tax collection under this

chapter.

(f) Disbursement.--Revenue from all taxes collected under

this chapter shall be disbursed as follows:

(1) Ten percent of the revenue shall be disbursed to

municipalities in which a cannabis business establishment is

located, disbursed in proportion to the number of cannabis

business establishments within the municipality. The

following shall apply:

(i) If a cannabis business establishment is located

within a city of the first class or city of the second

class all applicable tax revenue under this subsection

shall be disbursed directly to the Commonwealth Financing

Authority for deposit into the local share accounts for

such cities.

(ii) (Reserved).

(2) Ten percent of the revenue shall be deposited into

the Cannabis Regulation Fund for program administration and

community investment.

(3) Thirty percent of the revenue shall be deposited

into the Community Opportunity Fund for technical assistance,

grants, loans and incubation of social and economic equity

applicants. Of the revenue, 5% shall be deposited into the

Agricultural Innovation Grant Program.

(4) Five percent of the revenue shall be used by the

authority to establish each of the following:

(i) A program to assist patients with the cost of

providing medical cannabis under Chapter 93 (relating to

medical use of cannabis) to patients who demonstrate

financial hardship or need under this chapter, and the

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authority shall develop guidelines and procedures to

ensure maximum availability to individuals with financial

need.

(ii) A program to assist patients and caregivers

with the cost associated with the waiver or reduction of

fees for identification cards under sections 9331(c)(5)

(relating to identification cards) and 9332(a)(2)

(relating to caregivers).

(iii) A program to reimburse caregivers for the cost

of providing background checks for caregivers.

(5) To the Department of Drug and Alcohol Programs, 10%

of the revenue in the fund allocated at levels of 3% for drug

use prevention, 3% for drug use treatment services and 4% for

community-based peer recovery support services.

(6) To the Pennsylvania Commission on Crime and

Delinquency, 10% of the revenue in the fund for distribution

to local police departments that demonstrate a need relating

to the enforcement of this chapter and 5% of the revenue in

the fund to be used for indigent defense services.

(7) To the Department of Agriculture, 5% of the revenue,

to be allocated at levels determined by the Department of

Agricultural, for the benefit of farmland preservation and

deposit in the Agricultural Innovation Grant Program.

(8) To the General Fund, 20%.

§ 9199.3. Tax deduction for eligible cannabis business

establishments.

A tax deduction shall be allowed from the taxable income of a

cannabis business establishment in the amount of the ordinary

and necessary expenses paid or incurred during the taxable year

by the cannabis business establishment that are ordinarily

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deductible for Federal income tax purposes under 26 U.S.C. § 162

(relating to trade or business expenses). The deduction shall

only be permitted to the extent that deductions for expenses

under 26 U.S.C. § 162 were not taken by the cannabis business

establishment for Federal income tax purposes for the taxable

year.

SUBCHAPTER L

CANNABIS CLEAN SLATE

Sec.

9199.11. Cannabis clean slate.

§ 9199.11. Cannabis clean slate.

(a) General rule.--An individual who has been arrested for,

charged with or convicted, including convictions resulting from

a plea bargain, under section 13(a)(30) or (31) of the act of

April 14, 1972 (P.L.233, No.64), known as The Controlled

Substance, Drug, Device and Cosmetic Act, shall have the

individual's criminal history related to the criminal proceeding

expunged in accordance with subsection (b). This subsection

shall only apply to nonviolent offenses.

(b) Expungement process.--

(1) The Pennsylvania State Police central repository

shall, within six months of the effective date of this

paragraph, transmit to the Administrative Office of

Pennsylvania Courts all records related to an arrest or

conviction under subsection (a) for expungement.

(2) If the Administrative Office of Pennsylvania Courts

determines that a record transmitted under paragraph (1) is

not eligible for expungement, the Administrative Office of

Pennsylvania Courts shall notify the Pennsylvania State

Police of the determination within 30 days of receiving the

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information. Upon expiration of the 30-day period, the

Administrative Office of Pennsylvania Courts shall provide to

the court of common pleas in which the arrest or adjudication

occurred a list of all records eligible for expungement.

Within 30 days of receiving the list, the court of common

pleas shall order the expungement of all criminal history

records received under this section and all administrative

records of the Department of Transportation relating to the

criminal history records received under this section.

(1) An individual currently serving a sentence for a

conviction under The Controlled Substance, Drug, Device and

Cosmetic Act related to the manufacture, delivery, or

possession of cannabis, including, but not limited to,

section 13(a)(30) or (31) of The Controlled Substance, Drug,

Device and Cosmetic Act, that would have been lawful if this

chapter had been in effect at the time of the offense, may

petition for a dismissal of sentence before the trial court

that entered the judgment of conviction in his or her case to

request resentencing.

(2) An individual with a prior conviction under The

Controlled Substance, Drug, Device and Cosmetic Act, related

to the manufacture, delivery, or possession of cannabis

including, but not limited to, section 13(a)(30) or (31) of

The Controlled Substance, Drug, Device and Cosmetic Act, that

would have been lawful if this chapter had been in effect at

the time of the offense, who is currently serving a sentence

for a subsequent conviction of any kind and whose prior

conviction under The Controlled Substance, Drug, Device and

Cosmetic Act may have led to an increased sentence for the

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current conviction may petition for a dismissal of sentence

before the trial court that entered the judgment of

conviction in his or her case to request resentencing.

(3) Following review of the petition by the court, if

the individual is found to be eligible for resentencing, the

court shall notify the prosecution and any other relevant

parties to allow for the presentation of arguments or

evidence regarding the request.

(d) Release of inmates.--A court of common pleas that has

received an expungement order for a person currently

incarcerated for the crime for which the court received the

expungement order shall transmit to the appropriate county

correctional institution or State correctional institution, as

those terms are defined under 61 Pa.C.S. § 102 (relating to

definitions), an order for the immediate release or discharge of

the individual whose record has been ordered to be expunged.

(e) Motor vehicle operation privileges.--The Bureau of Motor

Vehicles shall reinstate an individual's suspended or revoked

motor vehicle operation privileges that were suspended or

revoked as a result of the individual's conviction that has been

expunged under this section.

(f) Reinstatement of license or registration.--A license or

registration that has been suspended or revoked under section 23

of The Controlled Substance, Drug, Device and Cosmetic Act due

to an arrest or conviction that has been expunged under this

section shall be reinstated.

(g) Workplace.--

(1) This section is not intended to prohibit an employer

from adopting reasonable policies restricting the use,

consumption, possession, transfer, display, transportation,

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sale or growing of cannabis or cannabis products by employees

in the workplace for adult use.

(2) The following shall apply to drug screening tests:

(i) Drug screening tests may be permissible for any

position of employment that is a safety-sensitive

position.

(ii) A random drug screening test showing the mere

presence of cannabis may not be the basis of a

termination of employment or any other disciplinary

action against the employee.

(iii) Except as otherwise specifically provided by

law:

(A) An employer may not refuse to hire a

prospective employee because the results of a drug

screening test indicate the presence of cannabis.

(B) If an employer requires an employee to

submit to a drug screening test within the first 30

days of employment, the employee shall have the right

to submit to an additional drug screening test, at

the employee's own expense, to rebut the results of

the initial drug screening test. The employer shall

accept and give appropriate consideration to the

results of the additional drug screening test.

(iv) The provisions of subparagraph (iii) shall not

apply:

(A) To the extent that the provisions are

inconsistent or otherwise in conflict with the

provisions of an employment contract or collective

bargaining agreement regarding the employee.

(B) To the extent that the provisions are

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inconsistent or otherwise in conflict with Federal

law.

by a Federal grant.

(3) As used in this subsection, the following words and

phrases shall have the meanings given to them in this

paragraph unless the context clearly indicates otherwise:

"Drug screening test." A test of an individual's blood,

urine, hair or saliva to detect the general presence of a

controlled substance or any other drug.

"Safety-sensitive position." A position that requires

any activity that an employer reasonably believes presents a

potential risk of harm to the health or safety of an

employee, others or the public while under the influence of

medical cannabis or cannabis for adult use, including:

(i) Duties performed at heights or in confined

spaces, including mining.

(ii) The operation of a motor vehicle, aircraft,

watercraft, snowmobile or other vehicles, equipment,

machinery or power tools.

(iii) Repairing, maintaining or monitoring the

performance or operation of any equipment, machinery or

manufacturing process, the malfunction or disruption of

which could result in injury or property damage.

(iv) Performing firefighting or law enforcement

duties.

(v) The operation, maintenance or oversight of

critical services and infrastructure, including electric,

gas and water utilities, power generation or

distribution.

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(vi) The extraction, compression, processing,

manufacturing, handling, packaging, storage, disposal,

treatment or transport of potentially volatile,

flammable, combustible materials, elements, chemicals or

other highly regulated components.

(vii) Dispensing pharmaceuticals.

(viii) A position that requires the employee to

carry a firearm.

(ix) Direct patient care or direct childcare.

SUBCHAPTER M

MISCELLANEOUS PROVISIONS

Sec.

9199.21. Conflicts.

9199.22. (Reserved).

9199.23. Implementation.

§ 9199.21. Conflicts.

The cultivation, processing, manufacture, acquisition,

transportation, sale, dispensing, distribution, possession and

consumption of cannabis permitted under this chapter and Chapter

93 (relating to medical use of cannabis) shall not be deemed to

be a violation of the act of April 14, 1972 (P.L.233, No.64),

known as The Controlled Substance, Drug, Device and Cosmetic

Act. If a provision of The Controlled Substance, Drug, Device

and Cosmetic Act relating to cannabis conflicts with a provision

of this chapter, this chapter shall take precedence.

§ 9199.22. (Reserved).

§ 9199.23. Implementation.

The issuance of permits and other authorizations specified

under this chapter, including the commencement of adult-use

cannabis sales, shall begin no later than 90 days after the

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effective date of this section.

CHAPTER 93

MEDICAL USE OF CANNABIS

Subchapter

A. Preliminary Provisions

B. Program

C. Practitioners

D. Patients

E. Medical Cannabis Business Establishments

F. Medical Cannabis Controls

G. Dispensaries

H. Offenses Related to Medical Cannabis

I. Academic Clinical Research Centers and Clinical

Registrants

J. Miscellaneous Provisions

SUBCHAPTER A

PRELIMINARY PROVISIONS

Sec.

9301. Scope of chapter.

9302. Declaration of policy.

9303. Definitions.

§ 9301. Scope of chapter.

This chapter relates to the regulation and use of medical

cannabis in this Commonwealth.

§ 9302. Declaration of policy.

The General Assembly finds and declares as follows:

(1) Scientific evidence suggests that medical cannabis

is one potential therapy that may mitigate suffering in some

patients and also enhance quality of life.

(2) The Commonwealth is committed to patient safety.

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Carefully regulating the program which allows access to

medical cannabis will enhance patient safety while research

into its effectiveness continues.

(3) It is the intent of the General Assembly to:

(i) Provide a program of access to medical cannabis

which balances the need of patients to have access to the

latest treatments with the need to promote patient

safety.

(ii) Provide a safe and effective method of delivery

of medical cannabis to patients.

(iii) Promote high quality research into the

effectiveness and utility of medical cannabis.

(4) It is the further intention of the General Assembly

that any Commonwealth-based program to provide access to

medical cannabis serve as a temporary measure, pending

Federal approval of and access to medical cannabis through

traditional medical and pharmaceutical avenues.

§ 9303. Definitions.

For purposes of this chapter, the terms used in this chapter

shall have the meanings ascribed to them in Chapter 91 (relating

to adult use of cannabis). In addition, the following words and

phrases when used in this chapter shall have the meanings given

to them in this section unless the context clearly indicates

otherwise:

"Caregiver." The term includes the following entities

designated to deliver medical cannabis:

(1) An individual designated by a patient.

(2) If the patient is under 18 years of age, an

individual under section 9337(2) (relating to minors).

(3) Individuals designated in writing, for purposes of

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section 9332 (relating to caregivers), by an organization

that provides hospice, palliative or home health care

services and:

(i) Are employed by an organization that is licensed

under the act of July 19, 1979 (P.L.130, No.48), known as

the Health Care Facilities Act.

(ii) Have significant responsibility for managing

the healthcare and well-being of a patient.

(iii) Were designated by the organization to provide

care to a patient who has provided authorization for the

designation.

(4) Individuals designated in writing, for purposes of

section 9332, by a residential facility, including a long-

term care nursing facility, skilled nursing facility,

assisted living facility, personal care home, independent

long-term care facility or intermediate care facility for

individuals with intellectual disabilities that:

(i) Are licensed by the authority or the Department

of Human Services.

(ii) Have significant responsibility for managing

the health care and well-being of the patient.

(iii) Were designated by the residential facility to

provide care to a patient who has provided authorization

for the designation.

"Certified medical use." The acquisition, possession, use or

transportation of medical cannabis by a patient, or the

acquisition, possession, delivery, transportation or

administration of medical cannabis by a caregiver, for use as

part of the treatment of the patient's serious medical

condition, as authorized in a certification under this chapter,

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including enabling the patient to tolerate treatment for the

serious medical condition.

"Continuing care." Treating a patient, in the course of

which the practitioner has completed a full assessment of the

patient's medical history and current medical condition,

including a consultation with the patient.

"Family or household member." As defined in 23 Pa.C.S. §

6102 (relating to definitions).

"Fund." The Cannabis Regulation Fund.

"Identification card." A document issued under section 9331

(relating to identification cards) that authorizes access to

medical cannabis under this chapter.

"Individual dose." A single measure of medical cannabis.

"Medical cannabis." Cannabis for certified medical use as

specified in this chapter.

"Medical cannabis product." The final form and dosage of

medical cannabis that is grown, processed, produced, sealed,

labeled and tested by a grower/processor and sold to a

dispensary.

"Medical cannabis unit." An amount of medical cannabis

equivalent to 3.5 grams of dry leaf, 1 gram of concentrate or

100 milligrams of THC infused into a pill, capsule, oil, liquid,

tincture or topical form.

"Patient." An individual who:

(1) has a serious medical condition;

(2) has met the requirements for certification under

this chapter; and

(3) is a resident of this Commonwealth.

"Practitioner." A physician who is registered with the

authority under section 9321 (relating to practitioner

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registration).

"Prescription drug monitoring program." The Achieving Better

Care by Monitoring All Prescriptions Program.

"Registry." The registry established by the authority for

practitioners.

"Research initiative." A nonpatient investigation not

subject to Institutional Review Board or Research Approval

Committee approval requirements of a patient-based research

program, project or study, conducted by an academic clinical

research center and its contracted clinical registrant.

"Secretary." The Secretary of Health of the Commonwealth.

"Serious medical condition." Any of the following:

(1) Cancer, including remission therapy.

(2) Positive status for human immunodeficiency virus or

acquired immune deficiency syndrome.

(3) Amyotrophic lateral sclerosis.

(4) Parkinson's disease.

(5) Multiple sclerosis.

(6) Damage to the nervous tissue of the central nervous

system (brain-spinal cord) with objective neurological

indication of intractable spasticity and other associated

neuropathies.

(7) Epilepsy.

(8) Inflammatory bowel disease.

(9) Neuropathies.

(10) Huntington's disease.

(11) Crohn's disease.

(12) Posttraumatic stress disorder.

(13) Intractable seizures.

(14) Glaucoma.

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(15) Sickle cell anemia.

(16) Severe chronic or intractable pain of neuropathic

origin or severe chronic or intractable pain.

(17) Autism.

(18) Anxiety disorders.

(19) Chronic Hepatitis C.

(20) Dyskinetic and spastic movement disorder.

(21) Neurodegenerative diseases.

(22) Opioid use disorder for which conventional

therapeutic interventions are contraindicated or infective,

or for which adjunctive therapy is indicated in combination

with primary therapeutic interventions.

(23) Terminal illness.

(24) Tourette syndrome.

(25) Other conditions determined and certified by a

practitioner for which a patent may benefit from a certified

medical use of cannabis.

"Synchronous interaction." A two-way or multiple-way

exchange of information between a patient and a health care

provider that occurs in real time via audio or video

conferencing.

"Terminally ill." A medical prognosis of life expectancy of

approximately one year or less if the illness runs its normal

course.

SUBCHAPTER B

PROGRAM

Sec.

9311. Program established.

9312. Confidentiality and public disclosure.

9313. Lawful use of medical cannabis.

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9314. (Reserved).

§ 9311. Program established.

(a) Establishment.--A medical cannabis program for patients

suffering from serious medical conditions is established. The

program shall be implemented and administered by the authority

which shall implement standards and operational requirements

identical to those set forth in Chapter 91 (relating to adult

use of cannabis), except where expressly required to protect the

rights of patients. The authority shall have all the powers and

duties authorized by Chapter 91, in addition to the following:

(1) Register practitioners and ensure their compliance

with this chapter.

(2) Maintain a directory of patients and caregivers

approved to use or assist in the administration of medical

cannabis within the authority's database.

(3) (Reserved).

(4) Establish a program to authorize the use of medical

cannabis to conduct medical research relating to the use of

medical cannabis to treat serious medical conditions,

including the collection of data and the provision of

research grants.

(5) Establish and maintain public outreach programs

about the medical cannabis program, including:

(i) A dedicated telephone number for patients,

caregivers and members of the public to obtain basic

information about the dispensing of medical cannabis

under this chapter.

(ii) A publicly accessible Internet website with

similar information.

(b) Regulations.--The authority shall promulgate all

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regulations necessary to carry out the provisions of this

chapter. No medical cannabis regulation shall differ from any

regulation promulgated by the authority addressing the

comparable issue regarding the operation of a permittee under

Chapter 91 (relating to adult use of cannabis), except where

expressly required to protect the rights of patients. The

authority shall align all medical cannabis regulations

promulgated under this chapter with the regulations promulgated

under Chapter 91, eliminating differences between the

regulations and avoiding any duplication required by medical

cannabis permittees who hold dual-use permits under Chapter 91,

except where differences are required to protect the rights of

patients. To the extent any medical cannabis regulation

conflicts with any regulation related to adult-use cannabis

under Chapter 91, the adult-use cannabis regulation shall

supersede the medical cannabis regulation, except as required to

protect the rights of patients.

§ 9312. Confidentiality and public disclosure.

(a) Patient information.--The authority shall maintain a

confidential list of patients and caregivers to whom it has

issued identification cards. All information obtained by the

authority relating to patients, caregivers and other applicants

shall be confidential and not subject to public disclosure,

including disclosure under the act of February 14, 2008 (P.L.6,

No.3), known as the Right-to-Know Law, including:

(1) Individual identifying information about patients

and caregivers.

(2) Certifications issued by practitioners.

(3) Information on identification cards.

(4) Information provided by the Pennsylvania State

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Police under section 9332(b) (relating to caregivers).

(5) Information relating to the patient's serious

medical condition.

(b) Public information.--The following records are public

records and shall be subject to the Right-to-Know Law:

(1) Applications for permits submitted by medical

cannabis business establishments.

(2) The names, business addresses and medical

credentials of practitioners authorized to provide

certifications to patients to enable them to obtain and use

medical cannabis in this Commonwealth. All other practitioner

registration information shall be confidential and exempt

from public disclosure under the Right-to-Know Law.

(3) Information relating to penalties or other

disciplinary actions taken against a medical cannabis

business establishment or practitioner by the authority for

violation of this chapter.

§ 9313. Lawful use of medical cannabis.

(a) General rule.--Notwithstanding any provision of law to

the contrary, use or possession of medical cannabis as set forth

in this chapter is lawful within this Commonwealth.

(b) Requirements.--The lawful use of medical cannabis is

subject to the following:

(1) Medical cannabis may only be dispensed to:

(i) a patient who receives a certification from a

practitioner and is in possession of a valid

identification card issued by the authority; and

(ii) a caregiver who is in possession of a valid

identification card issued by the authority.

(2) Subject to regulations promulgated under this

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chapter, medical cannabis may only be dispensed to a patient

or caregiver in the following forms and dosages approved by

the board:

(i) Cannabis-infused nonedible products.

(ii) Cannabis-infused edible products no greater

than 1,200 milligrams per package.

(iii) Dry leaf and plant material to be administered

by combustion, smoking, vaporization or nebulization.

(iv) Cannabis concentrates:

(A) Vaporizers not exceeding 2 grams per

package.

(B) Other cannabis concentrates intended for

vaporization not exceeding 3 grams per package.

(3) (Reserved).

(4) A patient may designate up to two caregivers at any

one time.

(5) Medical cannabis that has not been used by the

patient shall be kept in the original package in which it was

dispensed.

(6) A patient or caregiver shall possess an

identification card whenever the patient or caregiver is in

possession of medical cannabis. This does not apply to adult-

use cannabis purchased by a patient or caregiver, which shall

be treated separate from their medical cannabis allotment.

(7) Products packaged by a grower/processor or sold by a

dispensary shall only be identified by the name of the

grower/processor, the name of the dispensary, the brand name,

if applicable, the form and species of medical cannabis, the

percentage of tetrahydrocannabinol and cannabinol contained

in the product and any other labeling required by the

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authority.

cannabis for personal use by a patient shall be subject to the

following limitations:

(1) A resident of this Commonwealth 21 years of age or

older who is a patient may cultivate cannabis plants, with a

limit of five plants that are more than five inches tall,

without an adult-use cultivation center or microcultivation

center permit. The plant limitation specified under this

paragraph shall be cumulative for households in which more

than one patient resides. As used in this paragraph, the term

"resident" means an individual who has been domiciled in this

Commonwealth for a period of 30 days prior to cultivation.

(2) Cannabis cultivation by a patient shall take place

in an enclosed, locked space.

(3) A patient 21 years of age or older shall purchase

cannabis seeds and immature cannabis plants from a dispensary

for the purpose of home cultivation. Seeds and immature

cannabis plants may not be given or resold to any other

individual regardless of age.

(4) Cannabis plants shall not be stored or placed in a

location where they are subject to ordinary public view. A

patient who cultivates cannabis shall take reasonable

precautions to ensure that the plants are secure from

unauthorized access, including unauthorized access by an

individual who is under 21 years of age.

(5) Cannabis cultivation for personal use by a patient

may occur only on residential property lawfully in possession

of the patient cultivating cannabis for personal use or with

the consent of the person in lawful possession of the

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property. An owner or lessor of residential property may

prohibit the cultivation of cannabis by a lessee.

(6) Cannabis plants may only be tended by a patient who

resides at the residence or caregiver authorized by a patient

attending to the residence for brief periods.

(7) A patient who cultivates more than the allowable

number of cannabis plants, or who sells or gives away

cannabis plants, cannabis or cannabis-infused edible or

nonedible products, shall be liable for penalties as provided

by State law in addition to loss of home cultivation

privileges as established by regulation by the board.

(8) Cannabis cultivated by a patient and cannabis

produced by cannabis plants grown, if the amount of cannabis

produced is in excess of 30 grams of raw cannabis, shall

remain secured within the residence or residential property

in which the cannabis is grown.

§ 9314. (Reserved).

SUBCHAPTER C

PRACTITIONERS

Sec.

9321. Practitioner registration.

9322. Practitioner restrictions.

9323. Issuance of certification.

9324. Certification form.

9325. Duration.

§ 9321. Practitioner registration.

(a) Eligibility.--A physician included in the registry is

authorized to issue certifications to patients to use medical

cannabis. To be eligible for inclusion in the registry:

(1) A physician must apply for registration in the form

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and manner required by the authority.

(2) The authority must determine that the physician is,

by training or experience, qualified to treat a serious

medical condition. The physician shall provide documentation

of credentials, training or experience as required by the

authority.

(3) The physician must have successfully completed the

course under section 9311(a)(7) (relating to program

established).

(b) Authority action.--

(1) The authority shall review an application submitted

by a physician to determine whether to include the physician

in the registry. The review shall include information

maintained by the Department of State regarding whether the

physician has a valid, unexpired, unrevoked, unsuspended

Pennsylvania license to practice medicine and whether the

physician has been subject to discipline.

(2) The inclusion of a physician in the registry shall

be subject to annual review to determine if the physician's

license is no longer valid, has expired or been revoked or

the physician has been subject to discipline. If the license

is no longer valid, the authority shall remove the physician

from the registry until the physician holds a valid,

unexpired, unrevoked, unsuspended Pennsylvania license to

practice medicine.

(3) The Department of State shall report to the

authority the expiration, suspension or revocation of a

physician's license and any disciplinary actions in a timely

fashion.

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the registry shall have an ongoing responsibility to immediately

notify the authority in writing if the practitioner knows or has

reason to know that any of the following is true with respect to

a patient for whom the practitioner has issued a certification:

(1) The patient no longer has the serious medical

condition for which the certification was issued.

(2) Medical cannabis would no longer be therapeutic or

palliative.

(3) The patient has died.

§ 9322. Practitioner restrictions.

(a) Practices prohibited.--The following apply with respect

to practitioners:

(1) A practitioner may not accept, solicit or offer any

form of remuneration from or to a prospective patient,

patient, prospective caregiver, caregiver or medical cannabis

business establishment, including an employee, financial

backer or principal, to certify a patient, other than

accepting a fee for service with respect to the examination

of the prospective patient to determine if the prospective

patient should be issued a certification to use medical

cannabis.

(2) A practitioner may not hold a direct or economic

interest in a medical cannabis business establishment.

(3) A practitioner may not advertise the practitioner's

services as a practitioner who can certify a patient to

receive medical cannabis.

(b) Unprofessional conduct.--A practitioner who violates

subsection (a) shall not be permitted to issue certifications to

patients. The practitioner shall be removed from the registry.

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be imposed under this chapter, a violation of subsection (a) or

section 9323(f) (relating to issuance of certification) shall be

deemed unprofessional conduct under section 41(8) of the act of

December 20, 1985 (P.L.457, No.112), known as the Medical

Practice Act of 1985, or section 15(a)(8) of the act of October

5, 1978 (P.L.1109, No.261), known as the Osteopathic Medical

Practice Act, and shall subject the practitioner to discipline

by the State Board of Medicine or the State Board of Osteopathic

Medicine, as appropriate.

§ 9323. Issuance of certification.

(a) Conditions for issuance.--A certification to use medical

cannabis may be issued by a practitioner to a patient if all of

the following requirements are met:

(1) The practitioner has been approved by the authority

for inclusion in the registry and has a valid, unexpired,

unrevoked, unsuspended Pennsylvania license to practice

medicine at the time of the issuance of the certification.

(2) The practitioner has determined that the patient has

a serious medical condition and has included the condition in

the patient's health care record.

(3) The patient is under the practitioner's continuing

care for the serious medical condition.

(4) In the practitioner's professional opinion and

review of past treatments, the practitioner determines the

patient is likely to receive therapeutic or palliative

benefit from the use of medical cannabis.

(b) Contents.--The certification shall include:

(1) The patient's name, date of birth and address.

(2) The specific serious medical condition of the

patient.

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(3) A statement by the practitioner that the patient has

a serious medical condition and the patient is under the

practitioner's continuing care for the serious medical

condition.

(4) The date of issuance.

(5) The name, address, telephone number and signature of

the practitioner.

(6) Any requirement or limitation concerning the

appropriate form of medical cannabis and limitation on the

duration of use, if applicable, including whether the patient

is terminally ill.

prescription drug monitoring program prior to:

(1) Issuing a certification to determine the controlled

substance history of a patient.

(2) Recommending a change of amount or form of medical

cannabis.

(d) Other access by practitioner.--A practitioner may access

the prescription drug monitoring program to do any of the

following:

(1) Determine whether a patient may be under treatment

with a controlled substance by another physician or other

person.

(2) Allow the practitioner to review the patient's

controlled substance history as deemed necessary by the

practitioner.

(3) Provide to the patient, or caregiver on behalf of

the patient if authorized by the patient, a copy of the

patient's controlled substance history.

(e) Duties of practitioner.--The practitioner shall:

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(1) Provide the certification to the patient.

(2) Provide a copy of the certification to the

authority, which shall place the information in the patient

directory within the authority's electronic database. The

authority shall permit electronic submission of the

certification.

(3) File a copy of the certification in the patient's

health care record.

(f) Prohibition.--A practitioner may not issue a

certification for the practitioner's own use or for the use of a

family or household member.

§ 9324. Certification form.

The authority shall develop a standard certification form,

which shall be available to practitioners upon request. The form

shall be available electronically. The form shall include a

statement that a false statement made by a practitioner is

punishable under the applicable provisions of 18 Pa.C.S. Ch. 49

(relating to falsification and intimidation).

§ 9325. Duration.

Receipt of medical cannabis by a patient or caregiver from a

dispensary may not exceed a 90-day supply, 192 medical cannabis

units, of individual doses. During the last seven days of any

30-day period during the term of the identification card, a

patient may obtain and possess a 90-day supply for the

subsequent 30-day period. Additional 90-day supplies may be

provided in accordance with this section for the duration of the

authorized period of the identification card unless a shorter

period is indicated on the certification. This provision does

not apply to purchases made under Chapter 91 (relating to adult

use of cannabis).

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SUBCHAPTER D

PATIENTS

Sec.

9331. Identification cards.

9332. Caregivers.

9333. Notice.

9334. Verification.

9335. Special conditions.

9336. (Reserved).

9337. Minors.

9338. Caregiver authorization and limitations.

9339. Contents of identification card.

9339.1. Suspension.

9339.2. Prohibitions.

§ 9331. Identification cards.

(a) Issuance.--The authority may issue an identification

card to a patient who has a certification approved by the

authority and to a caregiver designated by the patient. An

identification card issued to a patient shall authorize the

patient to obtain and use medical cannabis as authorized by this

chapter. An identification card issued to a caregiver shall

authorize the caregiver to obtain medical cannabis on behalf of

the patient.

(b) Procedure for issuance.--The authority shall develop and

implement procedures for:

(1) Review and approval of applications for

identification cards.

(2) Issuance of identification cards to patients and

caregivers.

(3) Review of the certification submitted by the

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practitioner and the patient.

form and manner prescribed by the authority, for issuance or

renewal of an identification card. A caregiver must submit a

separate application for issuance or renewal. Each application

must include:

(1) The name, address and date of birth of the patient.

(2) The name, address and date of birth of a caregiver.

(3) The certification issued by the practitioner.

(4) The name, address and telephone number of the

practitioner and documentation from the practitioner that all

of the requirements of section 9323(a) (relating to issuance

of certification) have been met.

(5) A $50 processing fee. The authority may waive or

reduce the fee if the applicant demonstrates financial

hardship.

(6) The signature of the applicant and date signed.

(7) Other information required by the authority.

(d) Forms.--Application and renewal forms shall be available

on the authority's publicly accessible Internet website.

(e) Expiration.--An identification card of a patient or

caregiver shall expire within one year from the date of

issuance, upon the death of the patient or as otherwise provided

in this section.

(f) Separate cards to be issued.--The authority shall issue

separate identification cards for patients and caregivers as

soon as reasonably practicable after receiving completed

applications, unless it determines that an application is

incomplete or factually inaccurate, in which case it shall

promptly notify the applicant.

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(g) (Reserved).

(h) Change in name or address.--A patient or caregiver who

has been issued an identification card shall notify the

authority within 10 days of any change of name or address. In

addition, the patient shall notify the authority within 10 days

if the patient no longer has the serious medical condition noted

on the certification.

(i) Lost or defaced card.--In the event of a lost, stolen,

destroyed or illegible identification card, the patient or

caregiver shall apply to the authority within 10 business days

of discovery of the loss or defacement of the card for a

replacement card. The application for a replacement card shall

be on a form furnished by the authority and accompanied by a $25

fee. The authority may establish higher fees for issuance of

second and subsequent replacement identification cards. The

authority may waive or reduce the fee in cases of demonstrated

financial hardship. The authority shall issue a replacement

identification card as soon as practicable. A patient or

caregiver may not obtain medical cannabis until the authority

issues the replacement card.

§ 9332. Caregivers.

(a) Requirements.--

(1) If the patient designates a caregiver, the

application shall include the name, address and date of birth

of the caregiver, other individual identifying information

required by the authority and the following:

(i) Federal and Commonwealth criminal history record

information as set forth in subsection (b).

(ii) If the caregiver has an identification card for

the caregiver or another patient, the expiration date of

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the identification card.

(iii) Other information required by the authority.

(2) The application shall be accompanied by a fee of

$50. The authority may waive or reduce the fee in cases of

demonstrated financial hardship.

(3) The authority may require additional information for

the application.

(4) The application shall be signed and dated by the

applicant.

(b) Criminal history.--A caregiver who has not been

previously approved by the authority under this section shall

submit fingerprints for the purpose of obtaining criminal

history record checks, and the Pennsylvania State Police or its

authorized agent shall submit the fingerprints to the Federal

Bureau of Investigation for the purpose of verifying the

identity of the applicant and obtaining a current record of any

criminal arrests and convictions. The following shall apply:

(1) Any criminal history record information relating to

a caregiver obtained under this section by the authority may

be interpreted and used by the authority only to determine

the applicant's character, fitness and suitability to serve

as a caregiver under this chapter.

(2) The criminal history record information provided

under this subsection may not be subject to the limitations

under 18 Pa.C.S. § 9121(b)(2) (relating to general

regulations).

(3) The authority shall also review the prescription

drug monitoring program relating to the caregiver.

(4) The authority shall deny the application of a

caregiver who has been convicted of a criminal offense that

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occurred within the past five years relating to the sale or

possession of drugs, narcotics or controlled substances.

(5) The authority may deny an application if the

applicant has a history of drug use or of diverting

controlled substances or illegal drugs.

§ 9333. Notice.

An application for an identification card shall include

notice that a false statement made in the application is

punishable under the applicable provisions of 18 Pa.C.S. Ch. 49

(relating to falsification and intimidation).

§ 9334. Verification.

The authority shall verify the information in a patient or

caregiver's application and on any renewal form.

§ 9335. Special conditions.

The following apply:

(1) If the practitioner states in the certification

that, in the practitioner's professional opinion, the patient

would benefit from medical cannabis only until a specified

earlier date, then the identification card shall expire on

that date.

(2) If the certification so provides, the identification

card shall state any requirement or limitation by the

practitioner as to the form of medical cannabis for the

patient.

§ 9336. (Reserved).

§ 9337. Minors.

If a patient is under 18 years of age, the following shall

apply:

(1) The patient shall have a caregiver.

(2) A caregiver must be one of the following:

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(i) A parent or legal guardian of the patient.

(ii) An individual designated by a parent or legal

guardian.

(iii) An appropriate individual approved by the

authority upon a sufficient showing that no parent or

legal guardian is appropriate or available.

§ 9338. Caregiver authorization and limitations.

(a) Age.--An individual who is under 21 years of age may not

be a caregiver unless a sufficient showing, as determined by the

authority, is made to the authority that the individual should

be permitted to serve as a caregiver.

(b) Changing caregiver.--If a patient wishes to change or

terminate the designation of the patient's caregiver, for

whatever reason, the patient shall notify the department as soon

as practicable. The department shall issue a notification to the

caregiver that the caregiver's identification card is invalid

and must be promptly returned to the authority.

designates an individual as a caregiver who is not authorized to

be a caregiver, that portion of the application shall be denied

by the authority. The authority shall review the balance of the

application and may approve that portion of it.

§ 9339. Contents of identification card.

An identification card shall contain the following:

(1) The name of the caregiver or the patient, as

appropriate. The identification card shall also state whether

the individual is designated as a patient or as a caregiver.

(2) The date of issuance and expiration date.

(3) An identification number for the patient or

caregiver, as appropriate.

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(4) A photograph of the individual to whom the

identification card is being issued, whether the individual

is a patient or a caregiver. The method of obtaining the

photograph shall be specified by the authority by regulation.

The authority shall provide reasonable accommodation for a

patient who is confined to the patient's home or is in

inpatient care.

(5) Any requirement or limitation set by the

practitioner as to the form of medical cannabis.

(6) Any other requirements determined by the authority,

except the authority may not require that an identification

card disclose the patient's serious medical condition.

§ 9339.1. Suspension.

If a patient or caregiver intentionally, knowingly or

recklessly violates any provision of this chapter as determined

by the authority, the identification card of the patient or

caregiver may be suspended or revoked. The suspension or

revocation shall be in addition to any criminal or other penalty

that may apply.

§ 9339.2. Prohibitions.

The following prohibitions shall apply:

(1) A patient may not operate or be in physical control

of a motor vehicle if proven to be impaired by medical

cannabis. The following shall apply:

(i) A medical cannabis patient convicted of

operating a vehicle while impaired to a degree that the

individual is unable to safely drive, operate or be in

actual physical control of the motor vehicle shall be

penalized under 75 Pa.C.S. § 3804(c) (relating to

penalties).

20250HB0020PN2119 - 156 -

(ii) Possession of a medical cannabis patient

identification card shall not, in and of itself, be

sufficient to establish probable cause to charge the

individual with a violation of this chapter.

(iii) Possession of a medical cannabis patient

identification card shall not, in and of itself,

establish reasonable grounds to request a chemical test

under 75 Pa.C.S. § 1547 (relating to chemical testing to

determine amount of alcohol or controlled substance).

(iv) Nothing in this section shall be construed to

supersede Federal regulation of the licensing and

operation of commercial vehicles and school vehicles.

(2) A patient may not perform any employment duties at

heights or in confined spaces, including mining, while under

the influence of medical cannabis.

(3) A patient may be prohibited by an employer from

performing any task which the employer deems life-

threatening, to either the employee or any of the employees

of the employer, while under the influence of medical

cannabis. The prohibition shall not be deemed an adverse

employment decision even if the prohibition results in

financial harm for the patient.

(4) A patient may be prohibited by an employer from

performing any duty which could result in a public health or

safety risk while under the influence of medical cannabis.

The prohibition shall not be deemed an adverse employment

decision even if the prohibition results in financial harm

for the patient.

SUBCHAPTER E

MEDICAL CANNABIS BUSINESS ESTABLISHMENTS

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Sec.

9341. Medical cannabis business establishments.

9342. Permit required.

9343. Applications.

9344. Issuance of permits.

9345. Diversity goals.

9346. Limitations on permits.

§ 9341. Medical cannabis business establishments.

The following entities shall be authorized to receive a

permit to operate as a medical cannabis business establishment

to grow, process or dispense medical cannabis:

(1) Grower/processors.

(2) Dispensaries.

§ 9342. Permit required.

A person may not operate a medical cannabis business

establishment for the purpose of cultivating, processing,

dispensing or transporting medical cannabis or medical cannabis-

infused edible or nonedible products without a permit issued

under this chapter. A person may not be an officer, director,

manager or agent of a medical cannabis business establishment

without having been authorized by the authority.

§ 9343. Applications.

(a) Notice.--Upon a determination by the authority that

additional medical cannabis business establishments are

necessary to meet the need of patients within the Commonwealth

the authority shall transmit notice of a request for

applications, including the number of permits to be awarded and

the time period in which applications will be accepted by the

authority, to the Legislative Reference Bureau for publication

in the next available issue of the Pennsylvania Bulletin.

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(b) Application.--An application for a grower/processor or

dispensary permit to grow, process or dispense medical cannabis

shall be in a form and manner prescribed by the authority.

satisfied that the applicant should be issued a permit, the

authority shall notify the applicant in writing of the factors

for which further documentation is required. Within 30 days of

the receipt of the notification, the applicant may submit

additional material to the authority.

§ 9344. Issuance of permits.

(a) Manner.--The issuance of permits to eligible applicants

shall occur in a manner as determined by the authority.

(b) Required information.--A permit issued by the authority

to a medical cannabis business establishment that will operate a

medical only facility and not one that is permitted as a dual-

use facility under Chapter 91 (relating to adult use of

cannabis), shall be effective only for that permittee and shall

specify the following:

(1) The name and address of the medical cannabis

business establishment.

(2) The activities of the medical cannabis business

establishment permitted under this chapter.

(3) The land, buildings, facilities or location to be

used by the medical cannabis business establishment.

(4) Any other information required by the authority.

§ 9345. Diversity goals.

(a) Goals.--It is the intent and goal of the General

Assembly that the authority promote diversity and the

participation by diverse groups in the activities authorized

under this chapter. In order to further this goal, the authority

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shall adopt and implement policies ensuring the following:

(1) That diverse groups are accorded equal opportunity

in the permitting process.

(2) That permittees promote the participation of diverse

groups in their operations by affording equal access to

employment opportunities.

(b) Duties of authority.--To facilitate participation by

diverse groups in the activities authorized under this chapter,

the authority shall:

(1) Conduct necessary and appropriate outreach

including, if necessary, consulting with other Commonwealth

agencies to identify diverse groups who may qualify for

participation in activities under this chapter.

(2) Provide sufficient and continuous notice of the

participation opportunities afforded under this chapter by

publishing notice on the authority's publicly accessible

Internet website.

(3) Include in the applications for permit under this

chapter language to encourage applicants to utilize and give

consideration to diverse groups for contracting or

professional services opportunities.

(4) Publish no later than December 5 of each year a list

of the surrendered or revoked licenses under this chapter on

the authority's publicly accessible Internet website.

(5) Accept applications for the licenses on the list

under paragraph (4) no later than January 15 of each year,

submitted by an applicant that is any of the following:

(i) A disadvantaged business.

(ii) A diverse group.

(iii) A small business.

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thereafter, the authority shall submit a report to the

chairperson and minority chairperson of the Health and Human

Services Committee of the Senate and the chairperson and

minority chairperson of the Health Committee of the House of

Representatives summarizing the participation and utilization of

diverse groups in the activities authorized under this chapter.

The report shall include:

(1) The participation level, by percentage, of diverse

groups in the activities authorized under this chapter.

(2) A summary of how diverse groups are utilized by

permittees, including in the provision of goods or services.

(3) Any other information the authority deems

appropriate.

(d) Definitions.--The following words and phrases when used

in this section shall have the meanings given to them in this

subsection unless the context clearly indicates otherwise:

"Disadvantaged business." As defined in 74 Pa.C.S. § 303(b)

(relating to diverse business participation).

"Diverse group." A disadvantaged business, minority-owned

business, women-owned business, service-disabled veteran-owned

small business or veteran-owned small business that has been

certified by a third-party certifying organization.

"Service-disabled veteran-owned small business." As defined

in 51 Pa.C.S. § 9601 (relating to definitions).

"Small business." An independently owned and operated for-

profit business that employs 25 or fewer employees and not a

subsidiary or affiliate of a corporation.

"Third-party certifying organization." As defined in 74

Pa.C.S. § 303(b).

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§ 9346. Limitations on permits.

The following limitations apply to approval of permits for

grower/processors and dispensaries:

(1) The authority may not initially issue permits to

more than 25 growers/processors.

(2) The authority may not initially issue permits to

more than 50 dispensaries. Each dispensary may provide

medical cannabis at no more than three separate locations.

(3) The authority may not issue more than five

individual dispensary permits to one person.

(4) The authority may not issue more than one individual

grower/processor permit to one person.

(5) No more than five grower/processors may be issued

permits as dispensaries. If the number of growers/processors

is increased as determined by the authority no more than 20%

of the total number of growers/processors may also be issued

permits as dispensaries.

(6) A dispensary may only obtain medical cannabis from a

grower/processor holding a valid permit under this chapter.

(7) A grower/processor may only provide medical cannabis

to a dispensary holding a valid permit under this chapter.

SUBCHAPTER F

MEDICAL CANNABIS CONTROLS

Sec.

9351. Electronic tracking.

9352. Laboratory.

§ 9351. Electronic tracking.

(a) Requirement.--A grower/processor or dispensary must

implement the designated seed-to-sale tracking system as

selected by the authority and an independent point-of-sale

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system. These systems shall comply with requirements contained

within Chapter 91 (relating to adult use of cannabis).

(b) Access.--Information maintained in electronic tracking

systems under subsection (a) shall be confidential and not

subject to the act of February 14, 2008 (P.L.6, No.3), known as

the Right-to-Know Law.

§ 9352. Laboratory.

The authority shall promulgate regulations regarding

laboratory practices and compliance testing, which shall include

standards and operational requirements identical to those set

forth in Chapter 91 (relating to adult use of cannabis).

SUBCHAPTER G

DISPENSARIES

Sec.

9361. Dispensing to patients and caregivers.

§ 9361. Dispensing to patients and caregivers.

(a) General rule.--A medical cannabis business establishment

authorized to dispense to patients and caregivers may lawfully

dispense medical cannabis to a patient or caregiver upon

presentation to the dispensary of a valid identification card

for that patient or caregiver. The dispensary shall provide to

the patient or caregiver a receipt, which shall include

information as determined by the authority.

(b) Filing with authority.--Prior to dispensing medical

cannabis to a patient or caregiver, the dispensary shall file

the receipt information with the authority utilizing the

electronic tracking system. When filing receipts under this

subsection, the dispensary shall dispose of any electronically

recorded certification information as provided by regulation.

20250HB0020PN2119 - 163 -

caregiver:

(1) a quantity of medical cannabis greater than that

which the patient or caregiver is permitted to possess under

the certification; or

(2) a form of medical cannabis prohibited by this

chapter.

(d) Supply.--When dispensing medical cannabis to a patient

or caregiver, the dispensary may not dispense an amount greater

than a 90-day supply, 192 medical cannabis units, until the

patient has exhausted all but a seven-day supply provided under

a previously issued certification until additional certification

is presented under section 9325 (relating to duration).

(e) Verification.--Prior to dispensing medical cannabis to a

patient or caregiver, the dispensary shall verify the

information in subsections (d) and (f) by consulting the

electronic tracking system included in the authority's

electronic database established under section 9311(a)(4)(v)

(relating to program established) and the dispensary tracking

system under section 9351(a)(2) (relating to electronic

tracking).

(f) Form of medical cannabis.--Medical cannabis dispensed to

a patient or caregiver by a dispensary shall conform to any

requirement or limitation set by the practitioner as to the form

of medical cannabis for the patient.

SUBCHAPTER H

OFFENSES RELATED TO MEDICAL CANNABIS

Sec.

9391.1. Criminal diversion of medical cannabis by practitioners.

9391.2. Criminal diversion of medical cannabis.

9391.3. Criminal retention of medical cannabis.

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9391.4. Criminal diversion of medical cannabis by patient or

caregiver.

9391.5. Falsification of identification cards.

9391.6. Adulteration of medical cannabis.

9391.7. Disclosure of information prohibited.

9391.8. Additional penalties.

9391.9. Other restrictions.

§ 9391.1. Criminal diversion of medical cannabis by

practitioners.

In addition to any other penalty provided by law, a

practitioner commits a misdemeanor of the first degree if the

practitioner intentionally, knowingly or recklessly certifies a

person as being able to lawfully receive medical cannabis or

otherwise provides medical cannabis to a person who is not

lawfully permitted to receive medical cannabis.

§ 9391.2. Criminal diversion of medical cannabis.

In addition to any other penalty provided by law, an

employee, financial backer, operator or principal of any of the

following commits a misdemeanor of the first degree if the

person intentionally, knowingly or recklessly sells, dispenses,

trades, delivers or otherwise provides medical cannabis to a

person who is not lawfully permitted to receive medical

cannabis:

(1) A medical cannabis business establishment.

(2) A clinical registrant or academic clinical research

center under Subchapter I (relating to academic clinical

research centers and clinical registrants).

(3) A laboratory utilized to test medical cannabis under

section 9352 (relating to laboratory).

§ 9391.3. Criminal retention of medical cannabis.

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In addition to any other penalty provided by law, a patient

or caregiver commits a misdemeanor of the third degree if the

patient or caregiver intentionally, knowingly or recklessly

possesses, stores or maintains an amount of medical cannabis in

excess of the amount legally permitted.

§ 9391.4. Criminal diversion of medical cannabis by patient or

caregiver.

(a) Offense defined.--In addition to any other penalty

provided by law, a patient or caregiver commits an offense if

the patient or caregiver intentionally, knowingly or recklessly

provides medical cannabis to a person who is not lawfully

permitted to receive medical cannabis.

(b) Grading.--A first offense under this section constitutes

a misdemeanor of the second degree. A second or subsequent

offense constitutes a misdemeanor of the first degree.

§ 9391.5. Falsification of identification cards.

(a) Offense defined.--In addition to any other penalty

provided by law, a person commits an offense if, knowing he is

not privileged to hold an identification card, the person does

any of the following:

(1) Possesses an identification card and either attempts

to use the card to obtain medical cannabis or obtains medical

cannabis.

(2) Possesses an identification card which falsely

identifies the person as being lawfully entitled to receive

medical cannabis and either attempts to use the card to

obtain medical cannabis or obtains medical cannabis.

(3) Possesses an identification card which contains any

false information on the card and the person either attempts

to use the card to obtain medical cannabis or obtains medical

20250HB0020PN2119 - 166 -

cannabis.

(b) Grading.--A first offense under this section constitutes

a misdemeanor of the second degree. A second or subsequent

offense under this section constitutes a misdemeanor of the

first degree.

§ 9391.6. Adulteration of medical cannabis.

(a) General rule.--In addition to any other penalty provided

by law, a person commits an offense if the person adulterates,

fortifies, contaminates or changes the character or purity of

medical cannabis from that set forth on the patient's or

caregiver's identification card.

(b) Grading.--A first offense under this section constitutes

a misdemeanor of the second degree. A second or subsequent

offense under this section constitutes a misdemeanor of the

first degree.

§ 9391.7. Disclosure of information prohibited.

(a) Offense defined.--In addition to any other penalty

provided by law, an employee, financial backer, operator or

principal of any of the following commits a misdemeanor of the

third degree if the person discloses, except to authorized

persons for official governmental or health care purposes, any

information related to the use of medical cannabis:

(1) A medical cannabis business establishment.

(2) A clinical registrant or academic clinical research

center under Subchapter I (relating to academic clinical

research centers and clinical registrants).

(3) An employee or contractor of the authority.

(b) Exception.--Subsection (a) shall not apply where

disclosure is permitted or required by law or by court order.

The authority, including an authorized employee, requesting or

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obtaining information under this chapter shall not be subject to

any criminal liability. The immunity provided by this subsection

shall not apply to any employee of the authority who knowingly

and willfully discloses prohibited information under this

chapter.

§ 9391.8. Additional penalties.

(a) Criminal penalties.--In addition to any other penalty

provided by law, a practitioner, caregiver, patient, employee,

financial backer, operator or principal of any medical cannabis

business establishment, and an employee, financial backer,

operator or principal of a clinical registrant or academic

clinical research center under Subchapter I (relating to

academic clinical research centers and clinical registrants),

who violates any of the provisions of this chapter, other than

those specified in section 9391.1 (relating to criminal

diversion of medical cannabis by practitioners), 9391.2

(relating to criminal diversion of medical cannabis), 9391.3

(relating to criminal retention of medical cannabis), 9391.4

(relating to criminal diversion of medical cannabis by patient

or caregiver), 9391.5 (relating to falsification of

identification cards), 9391.6 (relating to adulteration of

medical cannabis) or 9391.7 (relating to disclosure of

information prohibited), or any regulation promulgated under

this chapter:

(1) For a first offense, commits a misdemeanor of the

third degree and shall, upon conviction, be sentenced to pay

a fine of not more than $5,000 or to imprisonment for not

more than six months.

(2) For a second or subsequent offense, commits a

misdemeanor of the third degree and shall, upon conviction,

20250HB0020PN2119 - 168 -

be sentenced to pay a fine of not more than $10,000 or to

imprisonment for not less than six months nor more than one

year, or both.

(b) Civil penalties.--In addition to any other remedy

available to the authority, the authority may assess a civil

penalty for a violation of this chapter, a regulation

promulgated under this chapter or an order issued under this

chapter or regulation as provided in this subsection. The

following shall apply:

(1) The authority may assess a penalty of not more than

$10,000 for each violation and an additional penalty of not

more than $1,000 for each day of a continuing violation. In

determining the amount of each penalty, the authority shall

take the following factors into consideration:

(i) The gravity of the violation.

(ii) The potential harm resulting from the violation

to patients, caregivers or the general public.

(iii) The willfulness of the violation.

(iv) Previous violations, if any, by the person

being assessed.

(v) The economic benefit to the person being

assessed for failing to comply with the requirements of

this chapter, a regulation promulgated under this chapter

or an order issued under this chapter or regulation.

(2) If the authority finds that the violation did not

threaten the safety or health of a patient, caregiver or the

general public and the violator took immediate action to

remedy the violation upon learning of it, the authority may

issue a written warning in lieu of assessing a civil penalty.

(3) A person who aids, abets, counsels, induces,

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procures or causes another person to violate this chapter, a

regulation promulgated under this chapter or an order issued

under this chapter or regulation shall be subject to the

civil penalties provided under this subsection.

(1) In addition to the penalties provided in subsection

(b) and any other penalty authorized by law, the authority

may impose the following sanctions:

(i) Revoke or suspend the permit of a person found

to be in violation of this chapter, a regulation

promulgated under this chapter or an order issued under

this chapter or regulation.

(ii) Revoke or suspend the permit of a person for

conduct or activity or the occurrence of an event that

would have disqualified the person from receiving the

permit.

(iii) Revoke or suspend the registration of a

practitioner for a violation of this chapter or a

regulation promulgated or an order issued under this

chapter or for conduct or activity which would have

disqualified the practitioner from receiving a

registration.

(iv) Suspend a permit or registration of a person

pending the outcome of a hearing in a case in which the

permit or registration could be revoked.

(v) Order restitution of funds or property

unlawfully obtained or retained by a permittee or

registrant.

(vi) Issue a cease and desist order.

(2) A person who aids, abets, counsels, induces,

20250HB0020PN2119 - 170 -

procures or causes another person to violate this chapter

shall be subject to the sanctions provided under this

subsection.

(d) Costs of action.--The authority may assess against a

person determined to be in violation of this chapter the costs

of investigation of the violation.

(e) Minor violations.--Nothing in this section shall be

construed to require the assessment of a civil penalty or the

imposition of a sanction for a minor violation of this chapter

if the authority determines that the public interest will be

adequately served under the circumstances by the issuance of a

written warning.

§ 9391.9. Other restrictions.

Nothing in this chapter may be construed to permit any person

to engage in or prevent the imposition of any civil, criminal or

other penalty for the following:

(1) Undertaking any task under the influence of medical

cannabis when doing so would constitute negligence,

professional malpractice or professional misconduct.

(2) Possessing or using medical cannabis in a youth

detention center or other facility which houses children

adjudicated delinquent, including the separate, secure State-

owned facility or unit utilized for sexually violent

delinquent children under 42 Pa.C.S. § 6404 (relating to

duration of inpatient commitment and review). As used in this

paragraph, the term "sexually violent delinquent children"

shall have the meaning given to it in 42 Pa.C.S. § 6402

(relating to definitions). Nothing in this paragraph shall be

construed to apply to employees of the facilities set forth

in this paragraph.

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SUBCHAPTER I

ACADEMIC CLINICAL RESEARCH CENTERS

AND CLINICAL REGISTRANTS

Sec.

9393.1. Legislative findings and declaration of policy.

9393.2. Definitions.

9393.3. Academic clinical research centers.

9393.4. Clinical registrants.

9393.5. Research study.

9393.6. Research initiative.

§ 9393.1. Legislative findings and declaration of policy.

(a) Legislative findings.--It is determined and declared as

a matter of legislative finding:

(1) Patients suffering from serious medical conditions

deserve the benefit of research conducted in conjunction with

the Commonwealth's medical schools to determine whether

medical cannabis will improve their conditions or symptoms.

(2) The Commonwealth has an interest in creating a

mechanism whereby this Commonwealth's medical schools and

hospitals can help develop research programs and studies in

compliance with applicable law.

(b) Declaration of policy.--The General Assembly declares as

follows:

(1) It is the intention of the General Assembly to

create a mechanism whereby this Commonwealth's medical

schools and hospitals may provide advice to grower/processors

and dispensaries in the areas of patient health and safety,

medical applications and dispensing and management of

controlled substances, among other areas. It is the further

intention of the General Assembly to create a mechanism

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whereby the Commonwealth may encourage research associated

with medical cannabis.

(2) It is the policy of the Commonwealth to allow, in

addition to the 25 grower/processors and 50 dispensaries

initially authorized under section 9349.7 (relating to

limitations on permits), the operation of additional

grower/processors and dispensaries which will be approved by

the authority as clinical registrants. A clinical registrant

is a grower/processor and a dispensary which has a

contractual relationship with a medical school that operates

or partners with a hospital to provide advice about medical

cannabis so that patient safety may be enhanced.

§ 9393.2. Definitions.

The following words and phrases when used in this subchapter

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Academic clinical research center." An accredited medical

school within this Commonwealth that operates or partners with

an acute care hospital licensed within this Commonwealth that

has been approved and certified by the authority to enter into a

contract with a clinical registrant.

"Clinical registrant." An entity that:

(1) is approved by the authority as a clinical

registrant;

(2) has a contractual relationship with an academic

clinical research center under which the academic clinical

research center or its affiliate provides advice to the

entity, regarding, among other areas, patient health and

safety, medical applications and dispensing and management of

controlled substances; and

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(3) is approved by the authority to hold a permit as

both a grower/processor and a dispensary.

§ 9393.3. Academic clinical research centers.

(a) General rule.--An academic clinical research center must

be approved and certified by the authority before the academic

clinical research center may contract with a clinical

registrant. An academic clinical research center shall only

contract with one clinical registrant. The accredited medical

school that is seeking approval and certification from the

authority as an academic clinical research center must provide

all information required by the authority, including information

for the individual who will be the primary contact for the

academic clinical research center during the authority's review

of the application. The accredited medical school must also

provide all information required by the authority for any

licensed acute care hospital that the accredited medical school

will operate or partner with during the time that it may be

approved and certified as an academic clinical research center

by the authority.

(b) Posting and publication of list.--The authority shall

post a list containing the name and address of each certified

academic clinical research center on the authority's publicly

accessible Internet website and transmit notice to the

Legislative Reference Bureau for publication in the next

available issue of the Pennsylvania Bulletin.

§ 9393.4. Clinical registrants.

(a) Approval.--The authority may approve up to 10 clinical

registrants. Each clinical registrant may provide medical

cannabis at not more than six separate locations. The total

number of locations authorized to dispense medical cannabis

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under this section shall not exceed 60. The grower/processor and

dispensary permits issued to clinical registrants approved under

this section shall be in addition to the 25 grower/processor and

50 dispensary permits issued by the authority in accordance with

section 9346(1) and (2) (relating to limitations on permits).

The limitations relating to number and location in sections

9346(1) and (2) do not apply. A clinical registrant may not hold

more than one grower/processor and one dispensary permit. A

clinical registrant that obtains a dual use permit under Chapter

91 (relating to adult use of cannabis), shall continue to hold

and maintain the permit issued under this chapter. Once the

authority approves an entity as a clinical registrant, the

entity shall comply with this subchapter. The following shall

apply:

(1) The authority shall:

(i) Open applications for the approval of up to two

additional academic clinical research centers and issue

approvals to qualified academic clinical research centers

by July 16, 2016.

(ii) Open applications for the approval of up to two

additional clinical registrants by August 15, 2016, and

issue permits to qualified clinical registrants within

180 days from the date when applications are posted.

(2) If the statutory maximum number of approved academic

clinical research centers or approved clinical registrants

are not approved under paragraph (1), the authority shall

reopen the application process for the approval of academic

clinical research centers and clinical registrants.

(b) Requirements.--The following shall apply to clinical

registrants:

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(1) An entity seeking approval as a clinical registrant

shall submit an application to the authority in such form and

manner as the authority prescribes. The authority shall

ensure that the applicant meets the requirements of this

chapter before approving the application to become a clinical

registrant.

(2) An entity may be issued a permit as a

grower/processor or dispensary before seeking approval as a

clinical registrant. An entity may also apply for a permit as

a grower/processor or a dispensary at the same time the

entity seeks approval from the authority as a clinical

registrant.

(3) An entity seeking approval as a clinical registrant

that does not already hold a permit as a grower/processor or

a dispensary shall submit the applications required under

Subchapter E (relating to medical cannabis business

establishments). In reviewing an application, the authority

shall ensure that the entity meets all of the requirements

for the issuance of a grower/processor permit or a dispensary

permit, as applicable.

(4) When the authority issues a permit as a

grower/processor or a dispensary to an entity seeking

approval as a clinical registrant, the issuance shall not be

construed to reduce the number of permits for

growers/processors and dispensaries authorized under section

9349.7(1) and (2).

(i) The authority shall not approve an applicant for

a grower/processor permit if the applicant has previously

had a contractual relationship with an academic clinical

research center whereby the academic clinical research

20250HB0020PN2119 - 176 -

center or its affiliate provided advice to the applicant

regarding, among other areas, patient health and safety,

medical applications and dispensing and management of

controlled substances and the applicant subsequently sold

or assigned for profit to another entity their

responsibility under the contractual relationship.

(ii) (Reserved).

(5) Except as provided in section 9347(1)(vi) and (2)

(relating to fees and other requirements), an entity seeking

approval as a clinical registrant must pay the fees and meet

all other requirements under this chapter for obtaining a

permit as a grower/processor and a dispensary. Upon approval

of the authority, a clinical registrant shall be issued a

grower/processor permit and a dispensary permit and shall be

a medical cannabis business establishment. As a medical

cannabis business establishment, a clinical registrant must

comply with all the provisions of this chapter relating to

medical cannabis business establishments except as otherwise

provided in this subchapter.

(6) The clinical registrant must have a minimum of

$15,000,000 in capital. The authority shall verify the

capital requirement.

(7) The clinical registrant shall have all of the same

rights as a grower/processor permittee and must comply with

all other requirements of this chapter regarding growing,

processing and dispensing medical cannabis.

(8) A grower/processor facility owned by a clinical

registrant may sell its medical cannabis products to all

dispensary facilities. The facility may sell seeds, medical

cannabis plants and medical cannabis products to, or exchange

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seeds, medical cannabis plants and medical cannabis products

with, any other grower/processor facility holding a permit

under Subchapter E or this subchapter.

(9) A clinical registrant may petition the authority, on

a form prescribed by the authority, for approval to sell

certain of the medical cannabis products grown and processed

by its grower/processor facility to other medical cannabis

business establishments holding dispensary permits under

Subchapter E. The petition must be accompanied by a written

report of the clinical registrant's research findings with

respect to the medical cannabis products which are the

subject of the petition. The authority shall approve the

petition if it has been demonstrated that the medical

cannabis products have a practical effect on patients which

changes a recommendation within the medical field as

indicated in the report submitted by the clinical registrant.

(10) A dispensary owned by a clinical registrant may

dispense medical cannabis products to a patient or caregiver

who presents a valid identification card to an employee who

is authorized to dispense medical cannabis products at a

dispensary location operated by the clinical registrant,

regardless of whether the patient is a participant in a

research study or program.

§ 9393.5. Research study.

(a) Applicability.--The provisions of this section shall

apply upon publication of the notice under section 9399.8

(relating to notice).

(b) Procedures.--The authority may, upon application,

approve the dispensing of medical cannabis by a clinical

registrant to the academic clinical research center for the

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purpose of conducting a research study. The authority shall

develop the application and standards for approval of such

dispensing by the clinical registrant. The following apply to

the research study:

(1) The clinical registrant shall disclose the following

information to the authority in its application:

(i) The reason for the research project, including

the reason for the trial.

(ii) The strain and strength of medical cannabis to

be used in the research study.

(iii) The anticipated duration of the study.

(iv) Evidence of approval of the trial by an

accredited institutional review board and any other

required regulatory approvals.

(v) Other information required by the authority,

except that the authority may not require disclosure of

any information that would infringe upon the academic

clinical research center's exclusive right to

intellectual property or legal obligations for patient

confidentiality.

(2) The academic clinical research center shall provide

its findings to the authority within 365 days of the

conclusion of the research study or within 365 days of

publication of the results of the research study in a peer-

reviewed medical journal, whichever is later.

(3) The authority shall allow the exchange of medical

cannabis seed between clinical registrants for the conduct of

research.

§ 9393.6. Research initiative.

(a) Authority.--An academic clinical research center, in

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coordination with its contracted clinical registrant, may

conduct a research initiative on the antimicrobial effects of

applying solvent-based extraction methods and processes to

microbial contamination of immature medical cannabis plants,

medical cannabis plants, medical cannabis or medical cannabis

products.

(b) Procedure.--An academic clinical research center shall

submit to the authority for approval a completed written

research protocol of the planned research initiative. The

authority shall grant approval or denial of the protocol within

15 days of its submissions. The following apply:

(1) The research initiative shall commence no later than

30 days from the date the authority issues approval and shall

be completed no later than six months from the start date of

the research initiative.

(2) Research initiative findings shall be provided to

the authority by the academic clinical research center within

15 days of the research initiative's conclusion.

(3) An academic clinical research center and its

contracted clinical registrant shall present research

initiative findings to the authority and the authority's

research subcommittee for the authority's review and

consideration. The authority shall issue a written report,

with recommendations and findings regarding the use of

solvent-based extraction methods and processes on microbial

contamination by a clinical registrant or grower/processor.

(4) Prior to implementing a recommendation of the

authority under paragraph (3), a clinical registrant or

grower/processor shall seek approval from the authority for a

change in its grower/processor extraction process. The

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authority shall inspect the site and facility equipment. Upon

approval, the authority shall issue a notice of final

approval to implement the process.

SUBCHAPTER J

MISCELLANEOUS PROVISIONS

Sec.

9399.1. Financial and employment interests.

9399.2. Insurers.

9399.3. Protections for patients and caregivers.

9399.4. Schools.

9399.5. Day-care centers.

9399.6. Zoning.

9399.7. Applicability.

9399.8. Lawful transport of industrial hemp, hemp, and hemp

materials.

§ 9399.1. Financial and employment interests.

(a) Financial interests.--Except as may be provided for the

judiciary by rule or order of the Pennsylvania Supreme Court, an

executive-level public employee, public official or party

officer, or an immediate family member thereof, shall not

intentionally or knowingly hold a financial interest in a

medical cannabis business establishment or in a holding company,

affiliate, intermediary or subsidiary thereof, while the

individual is an executive-level public employee, public

official or party officer and for one year following termination

of the individual's status as an executive-level public

employee, public official or party officer.

(b) Employment.--Except as may be provided by rule or order

of the Pennsylvania Supreme Court, no executive-level public

employee, public official or party officer, or an immediate

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family member thereof, shall be employed by a medical cannabis

business establishment or by any holding company, affiliate,

intermediary or subsidiary thereof, while the individual is an

executive-level public employee, public official or party

officer and for one year following termination of the

individual's status as an executive-level public employee,

public official or party officer.

commits a misdemeanor and shall, upon conviction, be sentenced

to pay a fine of not more than $1,000 or to imprisonment for not

more than one year, or both.

(d) State Ethics Commission.--The State Ethics Commission

shall do all of the following:

(1) Issue a written determination of whether a person is

subject to subsection (a) or (b) upon the written request of

the person or any other person that may have liability for an

action taken with respect to such person. A person that

relies in good faith on a determination made under this

paragraph shall not be subject to any penalty for an action

taken, provided that all material facts set forth in the

request for the determination are correct.

(2) Publish a list of all State, county, municipal and

other government positions that meet the definitions of

"executive-level public employee" or "public official" as

those terms are defined under 4 Pa.C.S. § 1512(b) (relating

to financial and employment interests). The Office of

Administration shall assist the State Ethics Commission in

the development of the list, which shall be transmitted by

the State Ethics Commission to the Legislative Reference

Bureau for publication in the next available issue of the

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Pennsylvania Bulletin biennially and posted by the authority

on the authority's Internet website. Upon request, each

public official shall have a duty to provide the State Ethics

Commission with adequate information to accurately develop

and maintain the list. The State Ethics Commission may impose

a civil penalty under 65 Pa.C.S. § 1109(f) (relating to

penalties) upon any individual, including any public official

or executive-level public employee, who fails to cooperate

with the State Ethics Commission under this subsection. A

person that relies in good faith on the list published by the

State Ethics Commission shall not be subject to any penalty

for a violation of this section.

(e) Definitions.--As used in this section, the following

words and phrases shall have the meanings given to them in this

subsection unless the context clearly indicates otherwise:

"Financial interest." As defined in 4 Pa.C.S. § 1512(b).

"Immediate family." As defined in 4 Pa.C.S. § 1512(b).

"Party officer." As defined in 4 Pa.C.S. § 1512(b).

"Public official." As follows:

(1) The term shall include the following:

(i) The Governor, Lieutenant Governor, a member of

the Governor's cabinet, Treasurer, Auditor General and

Attorney General of the Commonwealth.

(ii) A member of the Senate or House of

Representatives of the Commonwealth.

(iii) An individual elected or appointed to any

office of a county or municipality that directly receives

a distribution of revenue from the fund.

(iv) An individual elected or appointed to a

authority, agency, board, commission, authority or other

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governmental body not included in subparagraph (i), (ii)

or (iii) that directly receives a distribution of revenue

from the fund.

(v) An individual elected or appointed to a

authority, agency, board, commission, authority, county,

municipality or other governmental body not included in

subparagraph (i), (ii) or (iii) with discretionary power

which may influence or affect the outcome of an action or

decision and who is involved in the development of

regulation or policy relating to a medical cannabis

business establishment or who is involved in other

matters under this chapter.

(2) The term does not include a member of a school board

or an individual who held an uncompensated office with a

governmental body prior to January 1, 2017, and who no longer

holds the office as of January 1, 2017.

§ 9399.2. Insurers.

Nothing in this chapter shall be construed to require an

insurer or a health plan, whether paid for by Commonwealth funds

or private funds, to provide coverage for medical cannabis.

Notwithstanding any other provision of law, no workers'

compensation carrier, self-insured employer or other insurer in

this Commonwealth may be required to provide coverage for or

otherwise reimburse the cost of medical cannabis.

§ 9399.3. Protections for patients and caregivers.

(a) Licensure.--None of the following shall be subject to

arrest, prosecution or penalty in any manner or denied any right

or privilege, including civil penalty or disciplinary action by

a Commonwealth licensing board or commission, solely for lawful

use of medical cannabis or manufacture or sale or dispensing of

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medical cannabis, or for any other action taken in accordance

with this chapter:

(1) A patient.

(2) A caregiver.

(3) A practitioner.

(4) A medical cannabis business establishment.

(5) A cannabis business establishment licensed under

Chapter 91 (relating to adult use of cannabis).

(6) A clinical registrant or academic clinical research

center under Subchapter I (relating to academic clinical

research centers and clinical registrants).

(7) An employee, principal or financial backer of a

medical cannabis business establishment.

(8) An employee of a clinical registrant or an employee

of an academic clinical research center under Subchapter I.

(b) Employment.--

(1) No employer may discharge, threaten, refuse to hire

or otherwise discriminate or retaliate against an employee

regarding an employee's compensation, terms, conditions,

location or privileges solely on the basis of the employee's

status as an individual who is certified to use medical

cannabis.

(2) Nothing in this chapter shall require an employer to

make any accommodation of the use of medical cannabis on the

property or premises of any place of employment. If an

employer makes an adverse employment decision against an

employee or job applicant under this chapter, the adverse

employment decision may not be challenged under any other

State or local law.

(3) Nothing in this chapter shall require an employer to

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commit any act that would put the employer or any person

acting on its behalf in violation of Federal law.

certified to use medical cannabis and acting in accordance with

this chapter shall not by itself be considered by a court in a

custody proceeding. In determining the best interest of a child

with respect to custody, the provisions of 23 Pa.C.S. Ch. 53

(relating to child custody) shall apply.

§ 9399.4. Schools.

The Department of Education shall promulgate regulations by

October 17, 2017, regarding the following:

(1) Possession and use of medical cannabis by a student

on the grounds of a preschool, primary school and a secondary

school.

(2) Possession and use of medical cannabis by an

employee of a preschool, primary school and a secondary

school on the grounds of the school.

§ 9399.5. Day-care centers.

The Department of Human Services shall promulgate regulations

by October 17, 2017, regarding the following:

(1) Possession and use of medical cannabis by a child

under the care of a child-care or social service center

licensed or operated by the Department of Human Services.

(2) Possession and use of medical cannabis by an

employee of a child-care or social service center licensed or

operated by the Department of Human Services.

(3) Possession and use of medical cannabis by employees

of a youth development center or other facility which houses

children adjudicated delinquent, including the separate,

secure State-owned facility or unit for sexually violent

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delinquent children, as specified in section 9391.9(2)

(relating to other restrictions).

§ 9399.6. Notice.

Upon amendment of the Controlled Substances Act (Public Law

91-513, 84 Stat. 1236) removing cannabis from Schedule I of the

Controlled Substances Act, the authority shall transmit notice

of the effective date of the amendment to the Legislative

Reference Bureau for publication in the next available issue of

the Pennsylvania Bulletin.

§ 9399.7. Applicability.

(a) (Reserved).

(b) Issuance.--The issuance of permits and other

authorizations shall begin upon transmittance of notice by the

authority to the Legislative Reference Bureau for publication in

the next available issue of the Pennsylvania Bulletin that

adequate temporary or permanent regulations have been adopted to

initiate the program under this chapter.

§ 9399.8. Lawful transport of industrial hemp, hemp, and hemp

materials.

(a) Limitation.--Nothing in this chapter shall prohibit or

interfere with the lawful transport of industrial hemp, hemp

materials, or hemp products as authorized by the United States

Department of Agriculture, the United States Food and Drug

Administration, and in compliance with other Federal law or

rules, through the Commonwealth of Pennsylvania for delivery to

an out-of-state destination.

(b) Manifest.--No person shall transport industrial hemp,

hemp, or hemp materials within the Commonwealth of Pennsylvania,

unless the person is duly authorized under Federal or State law

and regulation to transport hemp and possesses a hemp manifest

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that shall include the following:

(1) The name and address of the owner of the hemp.

(2) The point of origin.

(3) The point of delivery, including name and address.

(4) The kind and quantity of packages or, if in bulk,

the total quantity of hemp in the shipment.

(5) The date of shipment.

Section 2. Repeals are as follows:

(1) The General Assembly declares that the repeals under

paragraphs (2) and (3) are necessary to effectuate the

addition of 35 Pa.C.S. Ch. 93.

(2) The following acts and parts of acts are repealed to

the extent specified:

(i) Section 13(a)(31) of the act of April 14, 1972

(P.L.233, No.64), known as The Controlled Substance,

Drug, Device and Cosmetic Act, is repealed.

(ii) 18 Pa.C.S. § 7508(a)(1) and (f) are repealed.

(3) The act of April 17, 2016 (P.L.84, No.16), known as

the Medical Marijuana Act, is repealed.

(4) All other acts and parts of acts are repealed

insofar as they are inconsistent with the addition of 35

Pa.C.S. Chs. 91 and 93.

Section 3. The addition of 35 Pa.C.S. Ch. 93 is a

continuation of the act of April 17, 2016 (P.L.84, No.16), known

as the Medical Marijuana Act. Except as otherwise provided in 35

Pa.C.S. Ch. 93, all activities initiated under the act of April

17, 2016 (P.L.84, No.16), known as the Medical Marijuana Act,

shall continue and remain in full force and effect and may be

completed under 35 Pa.C.S. Ch. 93. Orders, regulations, rules

and decisions which were made under the Medical Marijuana Act

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and which are in effect on the effective date of section 2(3) of

this act shall remain in full force and effect until revoked,

vacated or modified under 35 Pa.C.S. Ch. 93. Contracts,

obligations and collective bargaining agreements entered into

under the Medical Marijuana Act are not affected nor impaired by

the repeal of the Medical Marijuana Act.

Section 4. This act shall take effect immediately.

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